MomentumOptions.com Mid-Market Update for 3/21/2017

March Madness in Full Swing/ Profit Alert (TXMD)

12:30pm (EST)

The market is having its worst day of the year despite opening higher and the Nasdaq setting a fresh all-time intraday high. The sudden reversal has caught Wall Street off guard with a number of slick talking pros saying a market top is in. No surprise there but probably more premature statements.

Of course, I mentioned this week would be wacky with historical weakness but it is too soon to gauge how much damage might be done. There are a number of headlines due out later in the week along with a few key earnings reports that could stabilize the action, or contribute to the weakness.

After today’s close, Dow components FedEx (FDX) and Nike (NKE) will announce quarterly earnings. FedEx missed estimates by 10 cents the prior quarter but topped estimates the prior three. Nike has topped estimates by 7 cents, 17 cents, a penny, and six cents over the previous four quarters.

The Dow is declining 155 points to 20,750 while the S&P 500 is down 19 points to 2,354. The Nasdaq is lower by 66 points to 5,835 and the Russell 2000 is tumbling 23 points to 1,360.

I have a Profit for one of our current trades, TXMD, and I could have additional Trade Alerts ahead of the closing bell. There is a chance I could have a New Trade as well so stay locked-and-loaded into the closing bell.

 

Momentum Options Play List

Closed Momentum Options Trades for 2017: 18-3 (86%). All trades are dated and time stamped for verification. New subscribers can look at the past history to see how the trades have played out or to research our Track Records.

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 a Trade Alert outside of these time frames.

 

Viavi Solutions (VIAV, $10.81, up $0.03)

VIAV April 11 calls (VIAV170421C00011000, $0.40, flat)

Entry Price: $0.42 (3/20/2017)
Exit Target: $0.85
Return: -5%
Stop Target: None

VIAV April 10 calls (VIAV170421C00010000, $0.95, flat)

Entry Price: $0.45 (3/15/2017)
Exit Target: $1.35
Return: 111%
Stop Target: 80 cents (Stop Limit)

VIAV June 11 calls (VIAV170616C00011000, $0.75, flat)

Entry Price: $0.40 (3/15/2017)
Exit Target: $1.20
Return: 88%
Stop Target: 60 cents (Stop Limit)

Action: Resistance is at $10.75-$11. Support is at $10.50-$10.25 on a move back below $10.75.

 

Starbucks (SBUX, $55.76, down $0.05)

April 52.50 puts (SBUX170421P00052500, $0.10, flat)

Entry Price: $0.40 (3/10/2017)
Exit Target: $0.80
Return: -75%
Stop Target: None

Action: Resistance is at $56-$56.50. Support is at $55.50-$55.

 

Amicus Therapeutics (FOLD, $7.17, down $0.09)

FOLD April 8 calls (FOLD170421C00008000, $0.25, flat)

Entry Price: $0.60 (3/2/2017)
Exit Target: $1.20
Return: -58%
Stop Target: None

Action: Resistance is at $7.25-$7.50. Support is at $7-$6.75.

 

Tower Semiconductor (TSEM, $22.90, down $0.43)

TSEM April 24 calls (TSEM170421C00024000, $0.35, down $0.10)

Entry Price: $0.65 (3/1/2017)
Exit Target: $1.30
Return: -54%
Stop Target: None

Action: Support is at $22.75-$22.50. Resistance is at $23.25-$23.50.

 

Flex (FLEX, $16.42, down $0.28)

FLEX April 17 calls (FLEX170421C00017000, $0.25, down $0.05)

Entry Price: $0.35 (2/15/2017)
Exit Target: $0.70
Return: -29%
Stop Target: None

Action: Support is at $16.50-$16.25. Resistance is at $16.75-$17.

 

TherapeuticsMD (TXMD, $6.57, down up $0.31)

TXMD June 7.50 calls (TXMD170616C00007500, $0.80, down $0.15)

Entry Price: $0.75 (1/18/2017)
Exit Target: $1.50
Return: 7%
Stop Target: 80 cents (Stop Limit)

Action: The Stop Limit at 80 cents has tripped on today’s pullback.