Posted in
Strategy
By: Tom Gentile
on May 11th, 2022
Bulls and Bears are playing some serious tug of war intra-day, which is either really fun or really aggravating for you day traders.
Money Calendar traders really aren’t day traders, but if a profit target gets hit in a day we are likely to grab it.
Here is a Money Calendar bullish setup that we don’t anticipate taking one day profits on, but rather it is a 21-day pattern as its past 10-year history shows.
Bullish Opportunity #1: American International Group, Inc. (NYSE: AIG)
Sector: Financial and Industry: Insurance – Diversified.
AIG offers insurance products for commercial, institutional, and individual customers in North America and internationally.
BULLISH:
Action to Take #1: Call Debit Spread
Entry Date: June 11, 2022
Buy-to-Open: American International Group, Inc. (NYSE: AIG) AIG June 10. 2022, $58 Call (AIG2200610C00058000) and Sell-to-Open: American International Group, Inc. (NYSE: AIG) AIG June 10. 2022, $63 Call (AIG2200610C00063000) Creating a Vertical Call / Debit Spread for a limit of $2.40
Exit Strategy / Profit Taking Option
SELL-to-Close: Close the entire position for a 100% Return on Investment (ROI)
Exit Date: June 08, 2022
We would love to show a Long Call only, but with elevated IV it is risky to show that knowing that a drop in IV alone, regardless of what the stock might do could cause a loss so a Call Debit Spread it is.
App: Toms Option Tools
Toms Option Tools scan the markets for bullish and bearish trade opportunities using our proprietary scans and strategy algorithms. TTR Darknet finds bullish entries based on triple stack channel collisions. Money Calendar identifies seasonal patterns with at least 90% accuracy looking back 10 years. Weekly Cash Clock finds short term opportunities that last a week on average. Microcurrency Trader applies Darknet technology and moving averages to cryptocurrencies. Velocity Trader utilizes volume spike and Velocity indicators on custom stock lists. Quantum Scripts scans the markets for momentum acceleration signals and employs Quantum noise filters. Optimal Trader finds directional pre-earnings opportunities that are optimized for entry date, stock movement, and volatility surge. My Trades tracks the profit/loss of your trades, displays stock charts and risk graphs, creates new trades, and edits existing trades. Morning Report provides top 10 option rankings in 6 categories each day.
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