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TRADE BULLETIN: Closing One Down and VaXXinating Against a Market Pullback (SFM,VXX)
Posted on May 6, 2020
Big trade coming your way today, all you coronavirus ghetto dwellers!
What? Are you scared?
Hiding inside?
Afraid to go out and raise a ruckus?
What are ya, some kinda lockdown stooge?!
A big government sock-puppet?!
Plaything of the Bill and Melinda Gates Foundation?
We’re closing a trade today that was opened back on December 5th in a report entitled The Skinny & Pale that Cannot Fail. There, we urged you to buy the SFM June 19th 22.50 CALL for $1.00 and sell the SFM June 19th 17.50 PUT for $0.65. Total debit on the trade was $0.35.
And today?
The CALL goes for $1.25 and the PUT for $0.17. Sell the former and buy back the latter and you net $0.73 on $0.35 expended. That’s a 208% profit, and it’s better than a cold pot of beaners and weins.
Trade Up, Matty! Whaddaya got on offer?
Pay attention.
Today’s trade is a speculative bet on near-term market direction, and it’s predicated on the following –
- First, sentiment numbers are anything but fearful, a prerequisite for further upside on the indexes. Without continuing terror, there won’t be a strong push northward.
We’ve yet to witness the flushing of the bulls.
- The overall rise in the indexes has been fueled by just a half dozen mega-stocks, all of whom reported this week and FAILED to push the broad market above resistance (see chart below).
- Next, there has been almost no volume on the rise. That is, commitment for the move is questionable.
- The massive short position that built while the market was tanking has now been squeezed dry. And it was
Many happy returns,
Matt McAbby
6 responses to “TRADE BULLETIN: Closing One Down and VaXXinating Against a Market Pullback (SFM,VXX)”
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on Critical Dow Theory Announcement – A ‘New Henceforth’ Arises (TPOR, DUSL): “bs’d Hi David, Happy to help. Just not sure which half you’re in and what the details are. Can you…” Jun 23, 10:58
on Critical Dow Theory Announcement – A ‘New Henceforth’ Arises (TPOR, DUSL): “I am still in DUSLand at a loss because the agent helping me put me in it first and then…” Jun 23, 05:00
on Critical Dow Theory Announcement – A ‘New Henceforth’ Arises (TPOR, DUSL): “I don’t get how the DUSL TPOR trade can’t lose. Assuming one contract. 1. I short DUSL and collect $3135…” Jun 3, 17:19
on TRADE BULLETIN: Shut Down Your Alaskan Cruise Trade (12/9) Before She Leaps Off a Glacier! (TLT/HYG) and… The Importance of Proper Thinking: “bs’d MAZEL TOV, JOEL! MAY THERE BE MANY MORE! Love, Huey” Feb 14, 15:15
on TRADE BULLETIN: Shut Down Your Alaskan Cruise Trade (12/9) Before She Leaps Off a Glacier! (TLT/HYG) and… The Importance of Proper Thinking: “Closed TLT for $2.12 on an initial CREDIT of $.10. Great setup! Going to enjoy a nice bourbon tonight. All…” Feb 9, 20:56
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Tweets by hughlohaynew
Just closed mine out
Is someone patting themselves on the back today?
#nailedit
#perfecttiming
Again he does it!
The big MT comes up anything but…
Gotta love him.
A big mazel tov to ya!
Matty
Any thoughts on putting this on again for someone with an unhinged risk/reward profile?
Like the sell the news story, and sure seems there has been a lot of news lately…
Asking for a friend.
THE OTTAWAN STRIKES!
Listen MT, we appreciate the unhinged risk/reward personality type. In fact, we have a team of therapists here at the office who regularly do Enneagram testing.
So if your friend is looking for a job, please direct him hither. 😜
As to a repeat of the trade, our indicators are currently situated between ‘WILD-SCARY’ and ‘SUPERCILIOUS-GUFFAW’.
But if you have a hunch, we say ride it like Jelly-spine Jack – for our money, the greatest rodeo man ever to lace up an Edelweiss bodice.
And let us know how it goes!
Matt
Hmmmm…must admit that gives me pause.
After reviewing my RR profile, I’ve discovered it was in fact jammed, with the sole reading possible being “USS Johnston”. I’ll give it a swift kick and see if it has anything else to offer!
As for my friend, I closed the door on his basement suite as he muttered something like “load MES into Torpedo Tube 1 – and don’t fire until you see the red of their dojis”…poor sap hasn’t been the same since his fat fingers added an extra zero to that fateful market order…
Wow!
Still finding dojis in the Rideau Canal!
Who’da thunk after all these years…
Matt