MomentumOptions.com Mid-Market Update for 1/23/2017

Bears Continue Pressure

2:55pm (EST)

The market has traded in negative territory for of much of today’s session following spurts of green on the open. Much of today’s news has been flowing from the White House as President Donald Trump has been busy signing executive orders and meeting with business leaders.

Some of the actions included leaving the Trans-Pacific Partnership (TPP), as well as, the first step in repealing and replacing ObamaCare. Another executive order placed a hiring freeze on non-military federal workers. Needless to say, it has been a busy day for the newly elected President.

The bottom of the current trading ranges are in play as the bears continue to try and push fresh lows. The bulls are counting on better-than-expected earnings the rest of the week to dig themselves out of today’s hole.

The Dow is down 52 points to 19,775 while the S&P 500 is lower by 8 points to 2,262. The Nasdaq is declining 9 points to 5,546 and the Russell 2000 is off 7 points to 1,344.

I have updated our current trades so let’s go check the action.
Momentum Options Play List

Closed Momentum Options Trades for 2017: 3-0 (100%). All trades are dated and time stamped so new subscribers can look at the past history to see how the trades have played out.

Do not risk more than 5% of your trading account on any one trade but do try to take all of the trades. Please remember, all “Exit Targets” and “Stop Targets” are targets. You should not have any “Hard Stops” entered to close any trades or “Exit Orders” in your brokerage account unless I list one. I will send out a “Profit Alert” or “New Trade” if I want you to close a position or if a new trade comes out. Otherwise, follow instructions at all times in the 8am and 12pm–2pm (EST) updates. Also, I will usually give you a heads-up if I think I’m going to send an Trade Alerts outside of these time frames.

 

TherapeuticsMD (TXMD, $5.50, up $0.04)

TXMD June 7.50 calls (TXMD170616C00007500, $0.70, flat)

Entry Price: $0.75 (1/18/2017)
Exit Target: $1.50
Return: -7%
Stop Target: None

Action: Near-term resistance is at $5.75-$6. Support is at $5.25-$5.

 

Transocean (RIG, $14.73, down $0.58)

RIG March 17 calls (RIG170317C00017000, $0.33, down $0.12)

Entry Price: $0.66 (1/13/2017)
Exit Target: $1.35
Return: -32%
Stop Target: None

Action: Support is at $14.75-$14.50. Resistance is at $15.

 

Tower Semiconductor (TSEM, $20.26, down $0.10)

TSEM February 21 calls (TSEM170217C00021000, $0.60, down $0.05)

Entry Price: $0.65 (1/11/2017)
Exit Target: $1.30
Return: -9%
Stop Target: None

Action: Resistance is at $20.50-$20.75. Support is at $20-$19.75.

 

Green Dot (GDOT, $25.53, down $0.05)

GDOT March 25 calls (GDOT170317C00025000, $1.60, down $0.05)

Entry Price: $1.30 (1/6/2017)
Exit Target: $2.60
Return: 22%
Stop Target: $1.35 (Limit Order)

Action: Resistance is at $25.75-$26. Support is at $25.25-$25.

 

Sprint (S, $9.19, up $0.26)

S February 9 calls (S170317C00009000, $0.62, up $0.12)

Entry Price: $0.54 (1/6/2017)
Exit Target: $1.10
Return: 15%
Stop Target: None

Action: Resistance is at $9-$9.25. Short-term support is at $8.75-$8.50.

 

Sony (SNE, $30.43, down $0.07)

February 27 puts (SNE170217P00027000, $0.15, flat)

Entry Price: $0.65 (12/23/2016)
Exit Target: $1.30
Return: -77%
Stop Target: 10 cents (Limit Order on half)

Action: Resistance is at $30.75-$31. Support is at $30.50-$30.25.