Post 1
Post 2
Please read the first two posts first.
Trade day is approaching. The way this will work is I’m including the trade details and a lot of trade context. Here are the important points to be keenly aware of.
1. I am not an advisor or licensed broker/dealer (Yada, Yada, Yada). Therefore, no legal authority recognizes me as someone qualified to give investment advice. To you, I’m just words on your computer screen.
2. If you follow my trade details you do so with full knowledge that the responsibility is yours. In trader speak...That means if the trade goes bad, you’ll blame me, if the trade goes well, you’ll take full credit. LOL
3. If you follow me on this trade but deviate somewhat from the trade details you will experience a different outcome.
Soon, I will be SELLING Uncover puts on the ES Futures. This is the SP500 Futures market. As of now, I am eyeing the May 2023 week 3 3350 strike (That strike may change based on the wave 5 decline). I will only sell 1 option for a corresponding $12,000 of option buying power. This affords me some option buying power to sustain any trade drawdown. For example, if I wanted to utilize $50,000 of option buying power in my account, I would only sell 4 contracts even if my brokerage will allow me more buying power to take a larger position. Suffice to say only attribute 1 contract to every $12,000 in option buying power.
I will eventually sell some very far out of the money calls to match the same amounts of puts I sell to hedge my trade at a much later date based on my analysis. I WILL NOT BE DOING THAT SIMULTANEOUSLY WITH THE PUT SALE.
If you’re new to options it makes sense for you to watch from the sidelines. When my site launches, I hope to educate traders on strategies like this. Nonetheless, this is a risky trade so I’ll repeat if you have never traded options or futures, I highly recommend you do not start now. Follow along, Research, ask questions, this will not be the last time one of these comes along.
The above chart shows we are coming into the target box for the completion of our primary wave 3. From there I anticipate a wave 4 and then a final descent in our wave 5 sometime in the month of October. It could be as soon as next week. You’ll notice on the above chart I've had an orange arrow pointing to the next fib lower which is 3596 for some time. The 1.382% fib area could be the end of wave 3. Ideally, I would like price to come into the mid to low 3500’s, but that box exists to prepare us that wave 3 may not extend. Our primary wave 4 should be an ABC into the 3750 area. This could be a nice trade for those inclined to go long. 100 to 150 points is a nice day at the office in the futures market. Once we decline in our wave 5 and breach the wave 3 lows, I will be looking to open my May 2023 position.
I will repeat this again, if you choose to follow me on this trade, you do so of your own accord.
Best to all,
Chris
Post 2
Please read the first two posts first.
Trade day is approaching. The way this will work is I’m including the trade details and a lot of trade context. Here are the important points to be keenly aware of.
1. I am not an advisor or licensed broker/dealer (Yada, Yada, Yada). Therefore, no legal authority recognizes me as someone qualified to give investment advice. To you, I’m just words on your computer screen.
2. If you follow my trade details you do so with full knowledge that the responsibility is yours. In trader speak...That means if the trade goes bad, you’ll blame me, if the trade goes well, you’ll take full credit. LOL
3. If you follow me on this trade but deviate somewhat from the trade details you will experience a different outcome.
Soon, I will be SELLING Uncover puts on the ES Futures. This is the SP500 Futures market. As of now, I am eyeing the May 2023 week 3 3350 strike (That strike may change based on the wave 5 decline). I will only sell 1 option for a corresponding $12,000 of option buying power. This affords me some option buying power to sustain any trade drawdown. For example, if I wanted to utilize $50,000 of option buying power in my account, I would only sell 4 contracts even if my brokerage will allow me more buying power to take a larger position. Suffice to say only attribute 1 contract to every $12,000 in option buying power.
I will eventually sell some very far out of the money calls to match the same amounts of puts I sell to hedge my trade at a much later date based on my analysis. I WILL NOT BE DOING THAT SIMULTANEOUSLY WITH THE PUT SALE.
If you’re new to options it makes sense for you to watch from the sidelines. When my site launches, I hope to educate traders on strategies like this. Nonetheless, this is a risky trade so I’ll repeat if you have never traded options or futures, I highly recommend you do not start now. Follow along, Research, ask questions, this will not be the last time one of these comes along.
The above chart shows we are coming into the target box for the completion of our primary wave 3. From there I anticipate a wave 4 and then a final descent in our wave 5 sometime in the month of October. It could be as soon as next week. You’ll notice on the above chart I've had an orange arrow pointing to the next fib lower which is 3596 for some time. The 1.382% fib area could be the end of wave 3. Ideally, I would like price to come into the mid to low 3500’s, but that box exists to prepare us that wave 3 may not extend. Our primary wave 4 should be an ABC into the 3750 area. This could be a nice trade for those inclined to go long. 100 to 150 points is a nice day at the office in the futures market. Once we decline in our wave 5 and breach the wave 3 lows, I will be looking to open my May 2023 position.
I will repeat this again, if you choose to follow me on this trade, you do so of your own accord.
Best to all,
Chris
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.