Posts Tagged ‘chicken trade’

Futures Up, Bulls Looking For New Highs

9:00am (EST) After an up-and-down session, the Dow gained 30 points on Friday, or 0.25%, and closed at 12,092 – its highest level since June 2008.  For the week, the index added 269 points, or 2.3%, as the bulls bounced back after having their 8-week winning streak snapped the priorRead more

More

Freeport-McMoRan Splits, Options Back in Play

1:05pm (EST) We often get asked why we don’t recommend options on stocks like Apple (AAPL, $345.21, up $1.77), Google (GOOG, $609.59, down $0.56) or IBM (IBM, $163.46, down $0.07).  These stocks show tremendous price action and there are numerous, other, momentum stocks we do follow but shy away fromRead more

More

Unemployment Rate Falls to 9%

9:05am (EST) Good stuff to talk about this morning… Ben Bernanke had one of his better outings on Thursday as he encouraged the bulls to push higher which helped the market bounce off its lows.  We had an iffy open as the bears tried to capture the hill and take back theRead more

More

Bernanke Speaks, Market Stable

1:30pm (EST) The market is following yesterday’s pattern of trading in a tight range although the bias has been to the downside.  There is still some nervousness over Egypt as the protests have escalated and turned more violent.  This situation still bears watching and will weigh on the market asRead more

More

Green Mountain (GMCR) Strangles Estimates

9:00am (EST) The market traded in a tight range on Wednesday but we pretty much had penciled in a flat day before the open after Tuesday’s big pop.  We were looking for the major indexes to hold support, which was resistance, in terms of the technical picture and that weRead more

More

Futures Pointing Towards Lower Start

9:05am (EST) The bulls took another two steps backwards on Monday after failing to capitalize on Friday’s one step forward.  We knew last week at some point there would be a “dead cat” bounce or a “short covering” rally but we didn’t expect one before the weekend.  However, we had a feeling itRead more

More

What Is A Chicken Trade?

Bryan recently emailed us and asked about “chicken option trades.” He said we could post his email and Rick’s reply. We hope you find it informative. Rick – I’m looking for someone to teach me more about options trading. I heard about the “chicken trades” and that you can almostRead more

More

CFTC Disclosure:

GOVERNMENT REGULATIONS REQUIRE DISCLOSURE OF THE FACT THAT WHILE THESE METHODS MAY HAVE WORKED IN THE PAST, PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE PERFORMANCE. WHILE THERE IS A POTENTIAL FOR PROFITS THERE IS ALSO A RISK OF LOSS. A LOSS INCURRED IN CONNECTION WITH Momentum Options Trading, LLC CAN BE SIGNIFICANT. YOU SHOULD THEREFORE CAREFULLY CONSIDER WHETHER TRADING IS SUITABLE FOR YOU IN LIGHT OF YOUR FINANCIAL CIRCUMSTANCE. THERE IS SUBSTANTIAL RISK IN TRADING. A LOSS INCURRED IN CONNECTION WITH FUTURES TRADING CAN BE SIGNIFICANT. WE MAKE NO CLAIM REGARDING PAST OR FUTURE PERFORMANCE. WE MERELY TRACK EVERY TRADE AND SHOW THE PERFORMANCE OF ALL TRADES THE SYSTEM OR NEWSLETTER PRODUCES. SIMULATED TRADING IS DIFFERENT THAN TRADING REAL MONEY. HYPOTHETICAL RESULTS ARE NOT REAL RESULTS. PLEASE CONTACT YOUR BROKER ABOUT THE RISK OR TRADING STOCKS, OPTIONS OR FUTURES. ALL COMMUNICATIONS ARE OPINIONS NOT ADVICE.

CFTC RULE 4.41 – HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN.