Election Day Action: 2 Plays in a Mixed Market
In today’s video, I’m reviewing last week’s “Powell Fade” trade. And please let me know if you caught that move.
Plus, I’ve got two fresh ideas that I’m looking to enter.
Remember, if you’re new, I look at everything through my TPS (Trend, Pattern and Squeeze) Method.
And this next trade follows that process to a T.
Check out the video below to see the setup.
Your Action Plan:
I’d like to short eBay (Nasdaq: EBAY). The trend and pattern are both very bearish here, and I’m looking to short this name if it comes up into my short zone. See below for the chart and my thoughts on the trade, but watch the video for a more detailed explanation.
- Short zone: $40-$41
- Stop zone: Daily close over $42
- Downside targets: $37 and $34
- Option selection: December 16, 2022, $45 puts
Regeneron Pharmaceuticals (Nasdaq: REGN) has a great chart – a super-bullish trend and a fantastic pattern. REGN is consolidating just under the all-time highs, and I think it’s ready for its next leg higher. Again, my thoughts are on the chart below, but please watch the video for the full trade details.
- Buy zone: $715-$725
- Stop zone: Daily close under $700
- Upside targets: $770 and $800
- Option selection: December 16, 2022, $750 calls
Again, the reason I’m going with a long and a short this week is simply that the indexes aren’t showing their hand right now. Things could break either way, or we could get chop. When I see that, I want to make bets on both sides of the table. Keep in mind that ultimately, all I’m doing is playing a bullish chart in a bullish way and a bearish chart in a bearish way – SIMPLE!
P.S. It’s Election Day – and we have all the picks covered!
Will we see a “red wave”? Or will we see a “blue do-over”?
No matter what happens, we have all the picks for every outcome.