In the first two parts of our Trade Review alone (Part 1 and Part 2), we had 85 trade ideas for our Members in just two weeks and 74 of them (87%) turned out to be winners. As I noted at the close of Part 2, it's the losers that are most valuable during these reviews, as we often have a chance to take a great trade idea at an even better price than when we first liked it – all with the benefit of a little more retrospect.
Usually, we do our trade reviews through whatever arbitrary date we happen to be writing them but, since we FIRMLY went to CASH!!! in March, I am going to be teminating bullish plays from February on March expiration day (21st), the day we cashed our out Income Portfolio and they will be noted as such. That is not the case with the 2/10 trades right below, as I added those on 3/15 and I'm just getting to the rest of the week now. The rest will follow that rule for bullish trade ideas.
Our finish on Friday had just enough volume where we didn't want to be any more bearish, but we are cautious as we did a lot of bottom-fishing in our Income Portfolio and our Long-Term Portfolio, when the S&P bottomed out on Wednesday, the 29th (see our January Trade Review)
We certainly didn't buy anything we wouldn't be happy to buy more of if that 1,750 line hadn't held on the S&P but, for now, we're drifting along with a healthy 5% pullback off that 25% run from last Feburary. Also note on the daily S&P chart that the MACD and RSI lines both seem to have bottomed out, so we certainly do have the technicals in place to rally back – now we'll see if enough buyers are there to pop our bounce lines.
- **10 SSO March $92/97 bull call spreads at $3.30 ($3,300) selling 5 ISRG April $300 puts for $5.20 ($2,600) for net $700, now net $4,250 - up $3,550 (507%)
- **ABX Jan $15/25 bull call spread at $2.30, selling 2016 $13 puts for $2.25 for net .05, now $4.25 - up 8,400%
- **10 SSO March $92/97 bull call spreads at $3.30 ($3,300), selling 5 AMZN April $325 puts for $5.60 ($2,800) for net $500, now $3,875 - up $3,375 (675%)
- **10 SSO March $92/97 bull call spreads at $3.30 ($3,300) selling 3 IBM 2016 $150 puts at $10.40 ($3,120) for net $180, now $2,016 - up $1,836 (1,020%)
- **10 SLW Jan $20/25 bull call spreads as $2.35 ($2,350), selling 5 CI 2016 $60 puts for $5 ($2,500) for a net $150 credit, now $1,200 - up $1,350 (900%)
So, there's a few bullish triggers we can pull if just two of our strong bounce lines are crossed today and, of course, we'll have plenty more in our Member Chat Room(these are just the free samples!). It's going to be a crazy week with Yellen speaking 3 times, including her introduction to Congress but we'll also here from noted Fed hawks; Plosser, Lacker and and Fisher ahead of our 10 and 30-year note auctions. Mixed messages are guaranteed this week – be careful out there.
IN PROGRESS