MomentumOptions.com Mid-Market Update for 8/4/2017

Jobs Numbers Impress

2:00pm (EST)

The bulls got some good news ahead of the open as the jobs report beat estimates with a 209,000 July payroll number. Wall Street had forecasts for 175,000 jobs to have been added. The unemployment rate ticked lower to 4.3% from 4.4%, a 16-year low.

The indexes opened higher on the news but pulled back off their highs while slipping into negative territory, briefly afterwards. Some strength has returned as we wind down the final couple hours and a positive close across the board would be a bullish sign for next week.

The Dow is advancing 48 points to 22,074 while the S&P 500 is up 4 points to 2,476. The Nasdaq is higher by 7 points to 6,347 and the Russell 2000 is gaining 6 points to 1,412.

I have updated our current positions and there is a chance I could add a New Trade ahead of the weekend. However, if you don’t hear from me by 3:30pm (EST), have a great and safe weekend.

 

Momentum Options Play List

Closed Momentum Options Trades for 2017: 42-17 (71%). 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.

 

3D Systems (DDD, $13.59, up $0.20)

August 16 puts (DDD170818P00016000, $2.50, down $0.10)

Entry Price: $0.55 (8/2/2017)
Exit Target: $3 (closed half @ $1.10 on 8/3/2017)
Return: 209% ($1.80 current avg. closing price)
Stop Target: $2.20 (Stop Limit)

Action: Resistance is at $13.50-$13.75. Support is at $13.25-$13.

 

Alcoa (AA, $37.29, up $0.20)

AA August 39 calls (AA170818C00039000, $0.30, flat)

Entry Price: $0.55 (7/25/2017)
Exit Target: $1.10
Return: -45%
Stop Target: None

Action: Resistance is at $37.50-$37.75. Support is at $37-$36.50.

 

Wendy’s (WEN, $15.52, up $0.18)

WEN August 16 calls (WEN170818C00016000, $0.20, flat)

Entry Price: $0.45 (7/12/2017)
Exit Target: $0.90
Return: -56%
Stop Target: None

Action: Support is at $15.25-$15. Resistance is at $15.50-$15.75.

 

TherapeuticsMD (TXMD, $5.34, up $0.08)

TXMD August 7.50 calls (TXMD170818C00007500, $0.20, flat)

Entry Price: $0.50 (6/22/2017)
Exit Target: $1.00
Return: -60%
Stop Target: None

Action: Support is at $5.25-$5. Resistance is at $5.50-$5.75.