Author Archives: Trade Flight Plan

A Quest for Penny Stocks

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We all get these, but it doesn’t make them any less entertaining…
This time, Ms. Annette even carefully spelled out the ticker symbol – ya know, to make things easier for calling your broker.

—–Original Message—–
From: Annette Meyer [mailto:Meyer0661@daekogslanger.dk]
Sent: Tuesday, April 25, 2017 4:09 AM
Subject: By tomorrow evening this stock will be twenty times higher

Did you read my urgent email yesterday?

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MO-mentum

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An S&P 500 heatmap from Friday shows the extent of the Red Sea inspired from across The Pond.  However… money flowed into one stock that actually hit new highs.  These are great days to isolate equities with concentrated capital chasing alpha.

What better way to celebrate new found volatility than to offset bearish blog bias with bullish resistance ???

Check it out:

S&P 500 Heatmap

The MO MO Trade
For nearly 2 years, waiting for pullbacks, loading, then unloading on measured move highs has been a nice strategy for Altria.  Lather, rinse, repeat.  Of course, this doesn’t have to last forever, but as long as the higher highs > higher lows trend continues, we’ll stick with it. (more…)

AAPL: Who Knew???

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In Chicago we have a saying – the tape doesn’t lie.

Check out the open interest for the February 2016 option contracts on AAPL prior to earnings today.  This snapshot was taken at approximately 11:28AM ET on January 26 (the morning before the earnings release) and AAPL was trading right around $100 at the time.  Open interest suggests many permabulls were loading up in the days leading up to Tuesday’s earnings release.

Then, check out the disparity in put option contract volume today.  Who knew?

AAPL

Where will AAPL head on Wednesday?  The market maker move was anticipated at roughly +/- $6 above or below that nice round $100 level.  What will AAPL do on Wednesday?  Who knows.

Snake Oil Sales

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The best thing about weekly scheduled “news” events is that they can offer volatility and entertainment.  The worst thing is that unsuspecting retailers regarding them as actual “news” and don’t recognize news events and scheduled releases for the scams that they truly are.

This week’s exhibit in the you-can’t-make-this-stuff-up category is none other than light, sweet, and lately crude West Texas Intermediate.

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Duck, Duck, Goose

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Wednesdays before expiration (especially on FOMC days) are special days.

Volume is split between 2 contracts.  We have stops getting killed on both sides of indecision, and then a lot of chop, chop, slam….  chop, chop, slam….  It reminds me of the old Duck, Duck, Goose game.  Only this time, retail stops are left holding the bag and can’t find a chair or get a break.

The witching hour appears to be the hour going into oil pit close.

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Crude Market Forecasts

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The news scams and crude market forecasts are becoming even more crude.
You can read last week’s Bloomberg article quoting the helpful folks at GS here:
Bloomberg: Goldman Says $40 Oil Call May Be Too Low as Demand Surprises

Then, you can enjoy this chart showing what appears to be a nice Distribution Zone, followed by a 10+ sigma, 7-handle move to down.  Please enjoy the custom selected colors:

Crude Reality

Long live 50s!   Errrr…. 40s!

If you really wanna have a blast, join the fun at #RigCountGuesses.