1:45pm (EST)

We mentioned yesterday that July option expiration day has been pretty volatile over the last few years but we also mentioned that in 2011, most option days have been “flat”.  Today’s action has been non-eventful with Tech showing some strength while the Dow and S&P 500 have darted in-and-out of positive territory.

There has been a bevy of worse-than-expected economic news but the market is trying to push higher after hearing the European banks have passed their stress tests.  No major banks failed, which was not a surprise because many question the legitimacy of the test, however, there were 8 banks in total did not meet pass the test.

The rhetoric surrounding U.S. debt and Europe’s woes have plagued the market all week but we expect something between the Republicans and Democrats to get done by next week.  The deadline for the U.S. to get its balance sheet in check is the first week of August and both sides seem far apart so it may take a miracle.

If America is going to have to “eat our peas” then Congress needs to get “in the foxhole” to get a deal done which mean working WEEKENDS.  We doubt “corporate jets” are the real problem but somehow Obama seems to forget he has his own called “Air Force One” that the American taxpayers pay for.  Not to mention all the limos and $3,000 locks on every Congress-persons office or the $172,000 salaries for the boys on the hill.  But we digressed…

The Dow is higher by 4 points and is at 12,441 while the S&P is up 3 points to 1,312.  The Nasdaq is showing a 20 point pop and is at 2,782 as we get into the second half of trading.

We have some sweet news concerning our Weekly Wrap publication.  We should be “called-away” on two more trades today, possibly three, which will bring our track record to 7-0 or 8-0 on closed trades for 2011.  The 5 trades that have been closed so far include:  DNDN +9%, PCX +13%, SGEN +26%, TIVO +34%, and REDF +11%. 

As you can see, we try to average double-digit MONTHLY returns for the newsletter which may not seem like much but compared to a CD that earns 1%-2% over a year, well, you get the picture.  If you don’t then it means if we can average double-digit returns every month for you then you will easily DOUBLE your money in less than a year and safely.

For those of you who haven’t subscribed or taken us up on our offer to obtain our trading manual, How to Trade Options on Momentum Stocks, we urge you to advantage of our special offer.  We have offered this special before but as word spreads we have been getting asked to run the promotion again so that they can get the same price their buddy did.

So, if you order a 1-year subscription to our Weekly Wrap, we will send you a copy of our option trading manual at no charge (an $899 value!) which includes monthly/ bi-monthly videos.  Folks, if you really want to learn options and you really want to learn how to read charts and make yourself a better trader then you really need to consider our offer.  We also ship the option course to your doorstep and the videos are available for you to view anytime.  Click here to learn more.

We will be adding one or two new trades next week for the Weekly Wrap and we will be doing a video (for certain) to talk about upcoming earnings, the market, and we will take a look at how option strangles and straddles work.

Next week should be just as fun as a number of powerhouses will be confessing their numbers to Wall Street.  Halliburton (HAL, $53.07, up $1.24), Travelzoo (TZOO, $76.05, up $1.10) and Wynn Resorts (WYNN, $160.52, up $1.74) will start the parade on Monday.

We will be back Sunday night so we encourage you to take us up on our offer as we head into the second half of 2011.  Until then, have a great weekend.