MomentumOptions.com Pre-Market Update for 9/8/2017
Mini Trading Range Continues
The market traded in a relatively tight range after opening higher while finishing the session mixed. While most sectors showed gains, the financials got whacked, falling 1.7%, amid a drop in the yield on the benchmark 10-year treasury note. The Consumer Discretionary sector also traded lower and was down 0.8% for the session. Gold pulled back off Wednesday’s $1,350 level and a 2017 high, after settling just below $1,340 an ounce.
The Dow fell 22 points, or 0.1%, to finish at 21,784. The blue-chips traded up to 21,850 on the open with resistance at 21,900-22,000 holding for the 12th-straight session. Lower support at 21,800-21,750 held on the backtest to 21,745.
The S&P 500 slipped a half-point, or 0.02%, to closed at 2,465. The index tested a high of 2,468 with resistance at 2,475-2,480 easily holding. Support at 2,450-2,440 was safe following the fade to 2,460 afterwards.
The Nasdaq gained 4 points, or 0.1%, to end at 6,397. Tech kissed a morning low of 6,379 with rising support at 6,350-6,325 holding. Lower resistance at 6,425-6,450 held on the intraday run 6,413.
The Russell 2000 slipped 3 points, or 0.3%, to settle at 1,398. The small-caps made a 2-point run to 1,404 at the start of trading with resistance at 1,410-1,415 holding. Support at 1,395-1,390 was split on the fade to 1,393 immediately afterwards.
The S&P 500 Volatility Index ($VIX, 11.55, down 0.08) traded to a high of 12.07 midday with lower resistance at 12.50-13.50 holding. The low of 11.32 cleared upper support at 11.50-10.50 levels that held for the second-straight session.
From desk to press, futures look like this: Dow (xx); S&P 500 (xx); Nasdaq 100 (xx).
Momentum Options Play List
Closed Momentum Options Trades for 2017: 46-19 (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.
Cypress Semiconductor (CY, $13.65, down $0.06)
CY October 14 calls (CY171020C00014000, $0.50, flat)
Entry Price: $0.60 (9/1/2017)
Exit Target: $1.20
Stop Target: None
Action: Support is at $13.60-13.50 with yesterday’s low reaching $13.56. Resistance is at $14.
TherapeuticsMD (TXMD, $6.91, up $0.46)
TXMD December 7.50 calls (TXMD171215C00007500, $0.95, up $0.20)
Entry Price: $0.95 (8/17/2017)
Exit Target: $1.90
Stop Target: None
Action: Fresh resistance is at $7-$7.25 with Thursday’s peak reaching $7.01. Support is at $6.50-$6.25.
Intel (INTC, $35.54, down $0.22)
INTC October 37 calls (INTC171020C00037000, $0.25, down $0.07)
Entry Price: $0.53 (8/15/2017)
Exit Target: $1.10
Stop Target: 10 cents (Stop Limit)
Action: Support is at $35.50-$35.25. Resistance is at $35.75-$36.
TiVo (TIVO, $17.60, down $0.50)
TIVO October 20 calls (TIVO171020C00020000, $0.30, down $0.05)
Entry Price: $0.70 (8/8/2017)
Exit Target: $1.40
Stop Target: None
Action: Support is at $17.50-$17.25. Resistance is at $17.75-$18.