Brazilian Contrarian Spread

[video_player type=”youtube” youtube_remove_logo=”Y” width=”853″ height=”480″ align=”center” margin_top=”0″ margin_bottom=”20″]aHR0cHM6Ly95b3V0dS5iZS9IUk1JRUFtc2I5TQ==[/video_player] It’s not a rally, it’s just a slow grind to the upside on very light volume. One interesting stat that came out today that the last 3 weeks saw the fastest collapse in the VIX in its history. There are plenty of contrarian candidates out there to choose from. Tonight let’s set up a trade in one of them…

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What’s Next for Stocks?

[video_player type=”youtube” youtube_remove_logo=”Y” width=”853″ height=”480″ align=”center” margin_top=”0″ margin_bottom=”20″]aHR0cHM6Ly95b3V0dS5iZS9fVFEwbnhpNnFCTQ==[/video_player] Stocks have paused after making new highs. Is the market preparing for the next move to the upside or is it stalling at new highs? Let’s find out what we think has the greatest possibility of happening next…

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Earnings Announcements in Full Swing

[video_player type=”youtube” youtube_remove_logo=”Y” width=”853″ height=”480″ align=”center” margin_top=”0″ margin_bottom=”20″]aHR0cHM6Ly95b3V0dS5iZS91OU5VMEJVLVpjUQ==[/video_player] Welcome to the crapshoot game of the earnings season. Many don’t know that if you look at 1000s of earnings trades and try to sell premium the return is a whopping zero! However, if you place trades before earnings on the side of the trend this gives you a slight edge. Here’s a few examples in tonight’s video…

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Premium Sellers Should Fear the Low Volatility

[video_player type=”youtube” youtube_remove_logo=”Y” width=”853″ height=”480″ align=”center” margin_top=”0″ margin_bottom=”20″]aHR0cHM6Ly95b3V0dS5iZS90Vm5LM3ZZVmNKZw==[/video_player] TheoTraders must be aware of when to be a buyer or a seller of option premium. In this weekend edition let’s take a look at how you can do that. At TheoTrade we have done the hard work for you. Not only do we have the answer, but analysis behind that so you understand. Here are the types of trades that you’ll want to set up next week.

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Froth in the Markets and the Pepsi Challenge

[video_player type=”youtube” youtube_remove_logo=”Y” width=”640″ height=”360″ align=”center” margin_top=”0″ margin_bottom=”20″]aHR0cHM6Ly95b3V0dS5iZS9OSGUtSFVjWnlpTQ==[/video_player] Markets have surged 170 points since Brexit to new all time highs. Here is one scan I use to find contrarian set ups. One of the stocks this scan came up with was PEP. Let’s review the trade and what to expect with earnings coming up.

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Stocks Take An Awkward Pause

[video_player type=”youtube” youtube_remove_logo=”Y” width=”640″ height=”360″ align=”center” margin_top=”0″ margin_bottom=”20″]aHR0cHM6Ly95b3V0dS5iZS80bmhEMHR5SFFJTQ==[/video_player] In the past few days stocks made new all time highs and today’s awkward pause comes right before earnings season starts. TheoTraders must stay aware of the macro economic picture of the global economy. Tonight I want to highlight one of our TheoDark reports that showcase a major opportunity in Japan that we will be able to trade in the weeks ahead.

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Shopping for Value at the Helipad

[video_player type=”youtube” youtube_remove_logo=”Y” width=”640″ height=”360″ align=”center” margin_top=”0″ margin_bottom=”20″]aHR0cHM6Ly95b3V0dS5iZS9xOVVGR3hrYXFzbw==[/video_player] We take a look into the last 100 years of the S&P 500.

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New Highs and FedSpeak for a Sideways Week

[video_player type=”youtube” youtube_remove_logo=”Y” width=”560″ height=”315″ align=”center” margin_top=”0″ margin_bottom=”20″]aHR0cHM6Ly95b3V0dS5iZS9xODRVZzhaRjRRNA==[/video_player] Markets hit new highs… here’s what to expect going forward.

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Relationships in the Market

[video_player type=”youtube” youtube_auto_play=”N” youtube_remove_logo=”Y” width=”560″ height=”315″ align=”center” margin_top=”0″ margin_bottom=”20″]aHR0cHM6Ly95b3V0dS5iZS94Yk13LU5VZHUySQ==[/video_player] There is divergence in the force… the market that is. Looking at the 3 major indexes – the SPX, RUT, and QQQ – the weakest index has become the strongest and the strongest the weakest. One thing that we have been harping on is historical volatility vs. implied volatility. Everybody wants to be premium sellers including us at TheoTrade. However, we have a shift in dynamics that traders need to be aware of or they will be run over by the market. When historical volatility exceeds implied volatility the juice isn’t worth the squeeze. This is a rare time in the market when you want to be long gamma (AKA an option buyer). TheoTraders buy options the smart way though through debit spreads. We recommend In Out Spreads in today’s market. Let’s dive in…

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The Fed is Out of the Way

[video_player type=”youtube” youtube_remove_logo=”Y” width=”640″ height=”360″ align=”center” margin_top=”0″ margin_bottom=”20″]aHR0cHM6Ly95b3V0dS5iZS9zQzFUR1hQaWRLZw==[/video_player] Thanks to Brexit, political and global uncertainty the Fed is now out of the way for the foreseeable future. TheoTraders will know what the risks are in the market. Here’s what to look for in bonds and stocks.

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Don Kaufman Don Kaufman

TheoTrade co-founder, former CBOE market maker and thinkorswim Chief Derivatives Instructor.

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