MomentumOptions.com Pre-Market Update for 9/20/2017
Small-Caps Lag
8:00am (EST)
U.S. markets continue to show strong momentum with the Dow, S&P 500 and Nasdaq closing at record highs and the blue-chips on an 8-session win streak. The Russell 2000 lagged by less than a point after spending much of the session underwater while trading in a 4-point range. The Financials continued its recent surge with XLF closing in on a 52-week high ahead of the FOMC minutes on due out today. Real Estate and Healthcare led the laggards after falling 1% and 0.8%, respectively.
The Dow gained 39 points, or 0.2%, to end at 22,370. The blue-chips held positive territory throughout the session while setting an all-time intraday high of 22,385. Lower resistance at 22,400-22,500 held. Support remains at 22,100-22,000.
The S&P 500 added nearly 3 points, or 0.2%, to close at 2,506. The index slipped over a half-point on the morning low to 2,503 with support at 2,480-2,475 easily holding. New resistance at 2,515-2,525 held on the midday high.
The Nasdaq advanced 6 points, or 0.1%, to settle at 6,461. Tech fell 8 points to 6,446 during the first half of action with upper support at 6,425-6,400 easily holding. The 13-point run to 6,467 afterwards failed lower resistance at 6,475-6,525.
The Russell 2000 gave back less than a point, or 0.1%, to finish at 1,440. The small-caps kissed a high of 1,442 on the open with lower resistance at 1,445-1,450 and the all-time high of 1,452 holding. Support at 1,430-1,425 held on the backtest to 1,438.
The S&P 500 Volatility Index ($VIX, 10.18, up 0.03) kissed a morning low 9.85 with upper support at 10-9.50 holding into the closing bell. Resistance at 11-11.50 was split on the intraday high of 11.30.
I have updated our current trades so lets’s go check the tape.
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.
Cisco Systems (CSCO, $32.49, down $0.03)
CSCO October 32 calls (CSCO171020C00032000, $0.75, flat)
Entry Price: $0.50 (9/13/2017)
Exit Target: $1.00
Return: 50%
Stop Target: 58 cents (Stop Limit)
Action: Lower resistance at $32.75-$33 held on yesterday’s run to $32.65. Support is at $32.25-$32.
Cypress Semiconductor (CY, $14.69, up $0.15)
CY October 14 calls (CY171020C00014000, $0.90, flat)
Entry Price: $0.60 (9/1/2017)
Exit Target: $1.20
Return: 50%
Stop Target: 75 cents (Stop Limit)
Action: Shares traded up to $14.72 on Tuesday. Resistance is at $14.75-$15. Support is at $14.50-$14.25.
TherapeuticsMD (TXMD, $6.33, down $0.32)
TXMD December 7.50 calls (TXMD171215C00007500, $0.70, down $0.10)
Entry Price: $0.95 (8/17/2017)
Exit Target: $1.90
Return: -28%
Stop Target: None
Action: Support is at $6.25 with yesterday’s low reaching $6.32. Resistance is at $6.50-$6.75.
Intel (INTC, $37.23, up $0.23)
INTC October 37 calls (INTC171020C00037000, $0.75, up $0.05)
Entry Price: $0.53 (8/15/2017)
Exit Target: $1.10
Return: 44%
Stop Target: 55 cents (Stop Limit)
Action: Resistance is at $37.50-$37.75. Tuesday’s high reached $37.29. Support is at $37-$36.75.
TiVo (TIVO, $19.05, down $0.60)
TIVO October 20 calls (TIVO171020C00020000, $0.50, down $0.15)
Entry Price: $0.70 (8/8/2017)
Exit Target: $1.40
Return: -34%
Stop Target: None
Action: Upper support at $19-$18.75 held with yesterday’s low tapping $18.95. Resistance is at $19.50.