MomentumOptions.com Pre-Market Update for 11/9/2017
Dow Up 8-Straight
The market closed with slight gains on Wednesday following a weak open and a tight trading range throughout the session. The major indexes failed to trip new all-time highs although the Dow was able to stretch its winning streak to 8-straight sessions.
The S&P 500 made another run at the 2,600 level while the Nasdaq continues to seek 6,800. The Russell 2000 was underwater for much of the session with the 50-day moving average holding before rebounding into the closing bell.
Consumer Staples and Real Estate were strong with the sectors gaining 1% and 0.8%, respectively. The Financial and Energy sector led the laggards after giving back 0.5%.
The VelocityShares Daily Inverse VIX (ZIV) showed continued weakness after falling for the 6th-straight session to a low of 79.32. Lower support at 79.50 was stretched with risk to 78-76 and the 50-day moving average on a close below this level. Resistance remains at 80.50-80.75.
I could have New Trades after the open on in the midday update so stay locked-and-loaded.
Momentum Options Play List
Closed Momentum Options Trades for 2017: 50-20 (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.
TiVo (TIVO, $17.95, up $0.50)
January 20 calls (TIVO180119C00020000, $0.35, up $0.05)
Entry Price: $0.60 (10/31/2017)
Exit Target: $1.20
Stop Target: None
Action: Resistance is at $18-$18.25 following yesterday’s run to $18.10. Support is at $17.75-$17.50.
Ford (F, $12.04, down $0.12)
November 12 calls (F171117C00012000, $0.15, down $0.05)
Entry Price: $0.45 (10/11/2017)
Exit Target: $0.90
Stop Target: 10 cents (Stop Limit)
Action: Support is at $12. Resistance is at $12.15-$12.20.
Limelight Networks (LLNW, $5.61, up $0.09)
LLNW December 4 calls (LLNW171215C00004000, $1.65, up $0.10)
Entry Price: $0.37 (9/21/2017)
Exit Target: $2.00 (Limit Order on half at $2)
Stop Target: $1.25 (Stop Limit)
Action: Resistance is at $5.75-$6. Support is at $5.40-$5.35. I could piggy-back this trade with longer-dated call options into 2018 as some point today.
TherapeuticsMD (TXMD, $5.46, down $0.11)
TXMD December 7.50 calls (TXMD171215C00007500, $0.20, flat)
Entry Price: $0.95 (8/17/2017)
Exit Target: $1.90
Stop Target: None
Action: Support is at $5.25. Resistance is at $5.75.