This is an actual E-Mail sent out to our members in early January.

We are looking at 2 different orders for Monday. We are expecting to see some movement to the upside on both the major exchanges early in the week. The Nasdaq is just under resistance and the Dow just moved to a new 4 month high on Friday. Economic reports are light so no major news should be coming out to influence the markets.

 

OEX Bull Put Spread. The OEX is sitting at resistance of 600 with support at 580. There are a number of bull put spreads available on this index but we will stay conservative as there are only 2 weeks left before the Jan options expire. With support at 580 we are looking at selling the Jan 580 puts (OEB MP) and buying the Jan 570 puts (OEB MN) with a net credit of 1.10. This is a small return of only 11% but we are trading it conservatively based on the time value.

 

QQQ. The Stock is tracking the Nasdaq 100 and has recently bounced off support in its basing pattern. Strong support is at 39.00. The Jan 38 calls (QQQ AL) are traiding at...

We will E-Mail you with any fills in the morning or with any updates on these trades.