MTM Options Trader Newsletter | Resistance Works Better Than a Hunch

[image](=) [image] This Week in the Market The Dow and S&P 500 closed at all-time highs as the market rose to the occasion following the release of the FOMC minutes earlier in the week. CPI and PPI releases did little to distract buyers. The major indexes continue to trade well above their 50-day and 200-day moving averages as stocks keep climbing. Looking ahead, a bullish to non-bearish bias still makes sense as more new highs might be in the cards this week as well. Implied volatility and option prices slid lower with the rally to end the week. This week will be a tad slower in terms of economic reports and Federal Reserve speakers. That said, potential volatility and market swings remain on the table. Included this week in the reports will be the latest retail sales figure. Quarterly earnings are accelerating, with Netflix among several companies expected to report this week. Remember to check the expected date for earnings before entering any position. Have a safe, healthy and prosperous week! Oct 16: Import Price Index Oct 17: Jobless Claims Oct 17: Retail Sales Oct 17: Industrial Production Oct 17: Business Inventories Oct 18: Housing Starts [Read Our Blog]( Resistance Works Better Than a Hunch For about a month and a half, the S&P 500 ETF (SPY) has not been able to set a strong all-time high because of some major resistance. As I often remind traders who follow technical analysis, resistance like support has a much better chance of keeping the underlying from moving through that level. I would say there is typically a 70% to 80% chance that resistance (or support) will hold. Take the Odds In a recent MTM Group Coaching session, we saw SPY move up to about the $573.50 level [Continue Reading …]( MTM Watchlist Here are a few trade ideas we will most likely look at this week in MTM’s group coaching class: SPY – Double calendars for Friday/Monday expiration continue to excel, and another will be set up this week. 0-DTE iron condors will be on the slate too. AAPL – Calendars and iron condors have done well on this stock, and more will be modeled out this week as well. GE – This stock is back on our radar as a Poor Man’s Covered Call candidate. Expect us to consider another one this week. [image]() The strategies in this newsletter are for educational and informative purposes only. All information disclosed in this newsletter should not be considered complete in its entirety. Market Taker Mentoring, Inc. will not be held responsible for changes, oversights, errors or omissions. Dates, prices, news and other information may not be accurate. Please verify all information before trading. You alone are responsible for your own investment decisions. Options involve risk and are not suitable for all investors. Before trading options, please read Characteristics and Risks of Standardized Option (ODD), which can be obtained from your broker; by emailing investorservices@theocc .com; or from The Options Clearing Corp., 125 S. Franklin St., Suite 1200, Chicago, IL 60606. No statement in this newsletter is intended to be a recommendation or solicitation to buy or sell any security or to provide investment or trading advice. Traders and investors considering options should consult a professional tax advisor as to how taxes may affect the outcome of contemplated options transactions. Copyright Market Taker Mentoring, Inc. 2008 - 2024. All rights reserved. Reproducing or redistributing this content is a violation of federal law. [image] If you do not wish to be contacted via email, you can unsubscribe using this link: [Unsubscribe]( Unsubscribing from email notifications DOES NOT cancel your class, subscription or recurring payments. We recommend that current students do not unsubscribe from email notifications. If you unsubscribe from email notifications, you will not be notified on how to access the classes or subscriptions in which you are enrolled. Market Taker Mentoring, Inc. PO Box 117 Frankfort, Illinois 60423 United States