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Flat Action Favors Bulls

Friday, November 30th, 2012

12:40pm (EST)

The Dow started the month at 13,096 and the week at 13,009.  The S&P was at 1,412 and 1,409 to start November and the week.  The Nasdaq ended October at 2,977 while starting the week at 2,966.

Currently the Dow is down 15 points to 13,006 while the S&P is lower by 2 points to 1,413.  The Nasdaq is showing a decline of 7 points to 3,005. 

We talked about the bearishness of the last trading day of November over the past 15 years and that the chances of the market ending lower today was running at 75%.  However, there is a bullish case for the last trading day of November during election years as the market has advanced 5 out of the last 6 election years.

Given this week’s action, it appears we could be locked into a trading range for a few weeks and we will have the charts for you on Monday.

We mentioned yesterday that our Track Record is 10-4 since late September and we are closing another trade today for a 45% profit.  We still like all of our current trades but we want to continue to keep our portfolio light until we get a clear trend in the market. 

As we close out November, we are looking for an exciting December that is normally a bullish month for the market.  Our Track Record for 2012 is 147-54, or a 73% win rate, including the Weekly Wrap which is 26-0.  Our portfolio is showing a tremendous profit for the year (up a staggering 760%!) and is proof of the hard work we do and the long hours put in to do the research. 

We often hear how the Average Joe can’t make money in the market, or they got robbed on an IPO, or were left holding the bag on some other stock.  Well, the problem is the Average Joe doesn’t do homework and he doesn’t do research or read charts.  Our point is, trading the market for a month or two will never bring you long-term success but is possible to make an incredible amount of money if you do the homework – which is why you have us. 

Option trading is risky and it should only be used with speculative accounts.  Options require you to predict where a stock will be within a certain amount of time which is one of the hardest predictions to make on a daily basis.  An option trader who picks 55% of his trades right will have a successful year and is considered a “pro” by Wall Street’s standards.  The same with a professional gambler betting on football or basketball.

If you make the same bets in equal amounts it takes the emotion out of going overboard on one trade hoping to hit the homerun.  The key is to hit a lot of singles and doubles along with the three-run dingers or grand slams.  You will the occasional strikeout and a bad month here and there but if you are confident in your abilities then making money in the market is easy.

Our Weekly Wrap portfolio covers an array of companies, from small-caps to big-caps, and over the years we have profiled some incredible opportunities.  We like to own solid stocks that can return us double-digit returns on a monthly basis.  One of our covered calls trades returned over 100% this year.  Since inception, this newsletter is 42-0. 

We will be back Sunday night with our Weekly Wrap and Monday morning with our Daily.  We will also update our Watch List for possible new trades.  Until then, have a great weekend everyone.  

MomentumOptionsTrading.com New Trade for 11/16/2012

Friday, November 16th, 2012

2:25pm (EST)

We have a NEW TRADE we are releasing ahead of Monday’s action.  These are “cheap” out-of-the-money calls that we like for a possible double. 

Subscribers, check the Members Area for the latest update and use limit orders to get the best fills.

See you Sunday night!

MomentumOptionsTrading.com Profit Alert for 10/26/2012

Friday, October 26th, 2012

11:10am (EST)

We have tremendous news today as one of our call option trades has hit a 500% return!  The stock closed yesterday at $6.39 and is currently trading at $7.69, up $1.30, or 20%.  

We have a $10 price target for shares but given today’s strong gains, we need to lock-in partial profits on our December call options.  We can leave the rest of the trade open and play with the house’s money into next week and possibly into December.

Subscribers, check the Members Area for the update and we will be back shortly with the midday report.

Bulls Push Resistance, Rally Fades, NEW TRADE!!!

Thursday, October 25th, 2012

12:20pm (EST)

Today is an important day for the bulls and we talked about the major averages and where they were at this morning.  Futures were pointing towards a higher open this morning and the first thing we watched for was a break past resistance which was prior support.

The bulls needed to clear Dow 13,200; S&P 1,425; and Nasdaq 3,000.  They came close but no cigar.

We aren’t too worried about all the rhetoric with earnings, Europe, and economic news today as we are now watching the next layers of support which is much more telling.

The Dow is down 20 points to 13,057 after hitting 13,164 while the S&P is lower by a point to 1,407 after kissing 1,421.  The Nasdaq is also showing a decline of a point and is at 2,980 after reaching a peak of 3,007.

We have mentioned there could be a bounce off major support levels and today’s close could dictate how Friday and next week unfold. 

We have an itchy trigger finger so let’s go make some money as we have a NEW TRADE we are releasing.

We will also be watching the action into the close and if we see an opportunity to add more trades, we will take the shot.  Subscribers, check the Members Area for the updates and the new trade.  

Market Gets Shaky Ahead of Bernanke

Thursday, August 30th, 2012

12:40pm (EST)

It figures the major indexes would go into Friday’s big Bernanke speech right at support, providing current levels hold.  Today’s 1% pullback could be a stark reminder that if Big Ben can’t deliver some good news for the bulls, things could get ugly in a hurry.

Tomorrow’s Jackson Hole speech will have an immediate impact on the market as Bernanke will speak in the morning.  We are expecting the bulls to hold support and futures will probably be flat ahead of the European markets which open at 3am (EST).  They could remain that way until Bernanke speaks his first sentence.

Economic news has been coming in better-than-expected, including today’s Jobless Claims and Personal Income and Spending reports so Bernanke will have to be careful on using his last bullet too soon.  Of course, he was hoping Mario Draghi would have provided more clues on what Europe plans to do and he doesn’t have the luxury of getting a good read after dude cancelled his trip due to his heavy workload.

This means Bernanke’s words will have even more impact and if he stalls, the bears could push the next wave of support.  If Big Ben opens the flood gates, we could see a powerful rally in the weeks to come as Europe would certainly follow.  If both stall and nothing gets accomplished then we could see a sharp selloff.

Our trading plan has worked beautifully over the past 2 weeks as our portfolio is light and ready to play the next major move in the market.  We did add one new trade today and it has more to do with the fundamental story of the company and not what the market is doing.

We have some last minute updates for our current trades including a position that has been stopped out.  We were hoping to squeeze a little more juice out of our WellPoint (WLP, $60.84, down $0.96) call options but the Hard Stop on our other half of the trade has been triggered.  Our dedicated subscribers made 193% in just 9 days.  Nice!

As we head to press, the Dow is down 103 points to 13,004 while the S&P 500 is lower by 11 points t o 1,399.  The Nasdaq is off 30 points to 3,050.  We have talked about these numbers all week so let’s see if they hold into the close.

Subscribers, check the Members Area for the updates and get some rest tonight.  We could have a busy day tomorrow and we will be adding some possible new trades to our Watch List to play the market’s next move.  Friday is going to be fun!

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2013 Closed Trades:

    Here are our biggest recommendations for 2013 so far: +367 on REGN call options +173% on BGFV call options +140 on SCTY call options +178 on SNE call options +128% on SNE call options

    Our 2013 Closed Track Record for the Daily and Weekly Wrap are posted in the Members Area along with our 2012, 2011, 2010, 2009, and 2008 Track Records. We have NEVE had a losing year and we are having an incredible 2013!

    We were 159-70 for 2012, our fifth-straight profitable year since inception, with over 30 triple-digit winners and 17 more winners of 70% or more.

    The 5 biggest gainers for 2012 were: :
    576% on GMCR put options;
    500% on TASR call options;
    475% on AXP call options;
    464% on ARNA call options;
    and 292% on COF call options. We doubt any option newsletter performed as well as we did.

    Our 5 biggest winning recommendations in 2011:
    +1,167% Rambus option trade
    +357% RIMM option play
    +296% Freeport option trade
    +190% O’Reilly
    +184% Goldman Sachs
    We had 21 triple-digit winners and 12 (70%+) on 154 trades

    Our 5 biggest winning recommendations in 2010:
    +525% Adobe call options
    +297% Akamai Tech
    +190% Nike call play
    +177% Best Buy option trade
    +150% Green Mountain
    We had 19 triple-digit winners and 6 (70%+) on 115 trades

    Our 5 biggest winning recommendations in 2009:
    +1150% RIMM option play
    +552% Google call options
    +556% RIMM option trade
    +567% Bank of America
    +335% IBM call options
    We had 79 triple-digit winners and 19 (70%+) on 238 trades

    Our 5 biggest winning recommendations in 2008:
    +1,057% Google call options
    +867% AIG put options
    +588% Budweiser takeover play
    +400% Chipotle Mexican Grill
    +347 Merck option play
    We had 65 triple-digit winners and 13 (70%+) on 142 trades

    The portfolios can be found in the Members Area as well as past portfolios from 2008-2011. Overall, we are 621-273 on nearly 900 real-time recommendations that equals a success rate of 70%. This means, on average, 7-out-of-10 of our option trade recommendations make you money and we hope to have an even better success rate for 2013.

    If you are missing these juicy profits, come give us a try. Get your password to our Members Area instantly when you sign up TODAY! One profitable trade will easily pay for your membership. You can request our 2008-2012 Track Records by sending us an email or filling out the box below.

Trader Comments:
    I just want you to know that I love the way you write and explain everything. I am new to this, and have lost 50% of my account until I met you guys. Iit is slowly coming back. I will be calling to set up a year of membership rather than the one quarter. Thanks again, and LOVE YOU ALL. REGINA L.

    Rick, I appreciate the advice. I think I will just sit back and utilize your selections only for awhile. This will obviously save me a great deal of money in commissions. I have gone thru your entire site including the video on money management. This has brought me to the stark realization that I have been trading too much for too little. I definitely have not been "swinging for the fences", but I also think I have been getting impatient with trades and getting out too fast. This has no doubt caused me too trade too much. I like, and definitely agree on, the advice on money management. Thanks for the help. STEVE T.

    Thank you!!! I held on to the NFLX position since Nov. 13 at a cost of $1.89. Sold ½ on April 14th for a 540% return and the other ½ upon earnings for 702% return. Total profit of $11,615 a 621% return. Keep the recommendations coming and thanks to you and your team for the service you provide. SCOTT H.

    Rick & Team, GREAT Call on NKE for my two trading accounts:
    1) Entry at .65, out at 1.45, 1.55 Profit = $415
    2) Entry at .60, out at 1.75, 1.50 Profit = $485 PETER G.

    Hey Rick! Here is an update on what your picks have done in my accounts.

    1) Great call on the JoyG March 55. I bought when you said, then bought again on one of the dips. Booked 80+% profit. Made enough to pay for your service for years to come.

    2) Also booked profits on your Berk Feb 74 (80%) and threw a major chunk of change at the March 75’s (190+%). I would have never known that Buffet's stock had split if it weren’t for your service. Bought the shares also for the long haul. Won’t look at them for another 20 years. Great job on getting us in before the indexes did.

    3) Took profit on your Imax March 12.5. 20 cent trailing stop at 1.90 yesterday. Not sure what the profit on that was, but profit is profit.

    I see that you took a loss on some of these. It’s all good. I look to trade your “ideas” not your exact calls. I THANK YOU! For your ideas and commentary. Keep up the good work. And keep those ideas coming. LAWRENCE O.

    Loving this subscription so far! I got into the BRK feb 76 calls the day you talked about right before the split...now up over 300% (0.70 to 2.475)! Keep the good picks coming and let's see some OSIS and EMC upside soon! Just wanted to share my positive enthusiasm on your newsletter...it gives us individual investors great ideas on not only the options market, but also the broader equity market! Case in point is BRK...I can't always read the breaking business news but its easy to read your twice daily updates on my smartphone...helped me get some BRK shares immediately after the split which I will hold for the long haul! Thanks again! C.J.

    Aloha Rick - Thank you so much for the great CL pick. I am not sure if there was buy-out/merger news or what but at 3PM today Colgate-Palmolive absolutely EXPLODED to the upside, and my calls turned into green candy when they went from 1.40 to 3.8 in a matter of seconds! I even sold a few for over 4.0! Much thanks and keep the solid picks up my friend, honestly. Only a fool would scoff at 267% gains... Peace! SHAUN

    I like the fact that you ask for comments from subscribers. Good customer service. By the way, am enjoying the service so far. Some good profitable calls. Keep up the good work. MICHAEL K.

    Woo hoo! Out for 50% on WMT this am. Making up for my depression for getting out of pcln for a 30% gain monday :( you the man! any word on the manual? My friend Mike ( who I sent to your service) told me he emailed you about your integrity in reporting fills. I echo that sentiment big time.. keep it up! Cheers!
    PARAG P.

    Hi Rick, as a new member all I can say is, 'show off' LOL, with PCLN. JAY P.

    Rick, I am a new subscriber to your service, and I want to say I am impressed. I am impressed by your results, but more than that I am impressed by your reporting of your fills. You could have easily said you got that Wal-Mart call today for 80 cents, instead you reported 98 cents! Good job and keep it up, I watched the reporting of the fills first, and then I subscribed. Thank You. MIKE

    Hi, good morning. I jumped the gun a little on this one (PCLN). But still made $1,675.00 profit!! Very happy!! Keep up the good work!! Thanks. TRISH D.

    Hi there, I have joined recently, and I am very happy to tell you that I am up over $10,000 on your picks in a month. I started on 10/7 with the Intel pick. I'll be your member for life. Please don't quit on us. Also, I am learning a lot about options. I didn’t get in your recent APOL and that gold trade and only had one loss on CHK. I appreciate all the DD you do. I enjoy your market commentaries. Best advice site period, and I have tried a few here and there. Again, you guys rock! MIN L.

    Thanks be to Momentum Options Trading for providing me with some fantastic wins. I just started with this service and am up nearly 50% in less than a month. There have been losses, but if I manage them properly, I will continue the best efforts given on the blog (in which there are no complaints). What a great cause for humanity. I feel more confident about my trades and continue to play the wins. Best of all, I am now keeping my regular paychecks in the bank! Thank you! JOE G.

    Rick - I wanted to say thanks for getting me started on the right foot with your service. I have made six trades since starting on October 22, 2009. Five are winners and One loser netting me $6,245. Thanks again and keep the trade recommendations coming. GREG F.

    I got into the Nike 60 Call at 1.85, sold at 5.00, also bought a 55 put at 1.05, but got stopped out at .35. What a ride! $2830.00 in the black even with the put. It's right at 100% return. I hope earnings season coming up is going to look like this trade. NOEL

    Nice call on Nike. I think I'll go buy a pair with my profits! : ) I did the straddle for safety but still made 62% on the trade. Not bad for less than 24 hours. If Goldman is right, then the Nov 70s or 75's could be a steal today. TODD F.

    What a sweet way to get introduced to Momentum. My first trade based on your picks and it a 2X. Thank you! PAUL H.

    “Limit order was set at 1.60 on RIMM so it sold. I may have left some money on the table but you can't go broke making a profit. That was a fun trade. Thank you. Good call. I’ve been watching and trading Rick's advice since March. It’s usually a fun ride, but I give him heck when it's wrong to. :) ” NOEL

    “Your service rocks! I made bank on Dendreon last week! The other thing I have to say is that it took me quite a while to find a REAL options trading service like yours. Most of what’s out there is 99% scam and very sketchy. Momentum Options Trading is the first service I found that I can trust and seriously make money with.” CHRISTIAN

    “I made $420.00 on ANF in 2 days. Thanks for the trade and updates on getting out of the trade.” JOHN

    “I did follow a lot of your trades with 1-2 contracts per trade and YTD I’m up 108%. I try not to follow blindly by not entering all of your trades and sometimes entering the ones you don’t. I entered AIG a few weeks ago against recommendation – that one hurt.” CHARLES M.

    “I have been following you for several months and am interested in the new service. I hate to see the free service go away but as they say, “all good things must come to an end”. My ability to join will be greatly influenced by the monthly fee so I’m very curious to see the new prices. Thanks for making April a great month for me and my family.” BRYAN C.

    “I have really enjoyed the past month since finding your blog. You have made some great calls. I would appreciate info. on the new options mentoring program. Thanks.” JOHN H.

    “Hi Rick, I have been following your blog for several months now and I would like to be including on the list for your new service and to receive more information about it. And yes I was a Dendreon winner with your tips. Turned $280 into $7700, and literally saved my butt.” JEFFREY

    “I made over 6k on your Dendreon trade, and I’m very interested in learning how you pick and trade options. Sign me up.” ED

    “Rick – Wow what a day! I got in at the Dendreon calls at $2.25. Thanks to for your advice. I appreciate that. This company has a lock on this type of therapy and no one else in the world is close. Kind of reminds me of the type of companies that Peter Lynch and Warren Buffet suggest that investments be made in. Companies that can build a moat around their business model, that allows them to charge a premium for their product or service. In other words - a monopoly.” GREG

    “Hi Rick, Thank you so much for the Dendreon trade, I made almost $10,000 with that trade with a little over $2,000 investment. You have shown me the power of options trading. Again, thank you so much for all your inputs.” KEN

    “Hi Rick, thanks for the encouragement to play the dendreon calls! did freaking great! Got in the first lot at $1.44 on 3-24-09, sold at $2.45, 70% not bad. Bought it back at $2.30 on 4-7-09 closed out on 4-14-09 for 454% gain! Wow! I love it when that happens. So, thanks the encouragement to get back in when others were saying sell, sell, sell. Keep up the good work.” GARETT

    “Rick – Thanks for Dendreon – it has made all the headlines today! I missed on RIMM earlier, but I’ve been holding onto DNDN calls since 3rd week March. Of course today it all paid off today, as DNDN rocketed up.” TERENCE

    Jan. 31 2012
    Rick, new member...Studied all current trades, did some chart work,picked ZNGA, PEP, MGM...Sold on Feb. 2 for $3600.00 profit...Cost for 1-year membership to your newsletter was less than $1000.00..All I have to say..Thank you. John H –

    3/18/11
    Rick, I purchased 10 contracts of the Nike March 85 puts Thursday afternoon for $2.00. Thing is, I was upset because the puts went down to $1.60 or so before the market closed. Well, needless to say Nike didn’t impress Wall Street and when I turned on the computer this morning the puts were worth $7.10! Sold them for a $5,100 profit!. Thanks again, you are the MAN. Chuck J-

    2/3/12
    Hi Rick,

    I will start off with a thank you for your time and dedication to all
    the research you and your team commit yourself to. This is not me just being excited about the profits I have accumulated aka (bank) ! You have helped me get back to the passion I had of researching stocks/options. Keith N-

    Hi Rick,

    I want to share my great results on GMCR. Based on your comments on February 15th, I bought 20 options at $0.28. They closed today at $7.00, which is a 2,300% gain. My $560 dollars turned into $14,000 in less than a month. In decades of trading, this is my single best trade ever. Thank you! By the way, the Dow was down 228 points today and I could care less. What a great trade. It proves the amazing power of options. I am so grateful for your service, which calls it straight all the time, your options trading manual, and most of all, your amazing skill
    at finding winning trades. I have attached a copy of the trade from
    my brokerage screen.

    Hi Rick,

    Wow!! my account it up 70% since i joined last month and market is going the opposite direction. Really appreciate your service. I just wanted to drop a note to say THANK YOU. Hope to be with you guys for a very long time. Mel

    Rick,

    Great call on Fosl I bought the may 120 puts for 3.70 yesterday morning just sold for $32.00 today
    Keep up the great work
    Thank you, Henri

    Rick –

    I bought 10 Deckers Outdoor (DECK) May 55 puts at $0.50 on 4/26/12 and sold them on 4/27/12 for $1.65. I made $1150 in one day. Thanks. I knew something good would happen sooner or later.
    HOW THE HECK did you know Green Mountain Coffee (GMCR) was going to go down 20 points???!!!! I bought 10 of the May 35 puts at $0.49 and then 5 more at .30. I sold them at 5.80. Thank you again.
    You have made a believer out of me. Alan

    Rick –
    I have only been a member for about 6 weeks but I have done well on most of the trades. My first two were QQQ and SPY a month ago and since then I've gotten into the groove and been doing well.
    I try to execute the trades that you recommend as soon as you send them out, sometimes I can't and I miss the Entry price. However, sometimes when I miss the Entry, the price goes down and I get a better price.
    That's exactly what happened with GMCR.
    You recommended it at around $.81 I think, but by the time I got to it, the price was $.27. I bought 100 Puts on Wednesday May 2, 2012 and sold half of them 24 hours later at $5.95 for a nice 2,203% gain. As per your recommendation, as GMCR went above $30 I sold the remaining 50 Puts at $5.50 for a slightly less 2,037% gain.
    On average that one trade netted me a 2,120% gain, entirely based on YOUR recommendation (and a little bit of luck). To put this in real terms, I risked $2,700 on Wednesday and pocketed $54,550 just 24 hours later.
    So uhh, let's do that again real soon!!
    Feel free to use my name. The tax guys have me on speed-dial already anyway. Dennis

    Rick:
    That was awesome on your GMCR pick, I know how risky it can been holding into earnings but you pulled it off. 
    I just started my autotrading with you today and am in on your QQQ play. I look forward this service. 
    I have a busy career and I have tried to follow and trade throughout the day and found it too hard. I hope you continue to have a great year, I plan to go along for the ride. I am starting slow but will pile more in once I have secured some profits. 
    Keep up the good work your trading has been spot on. I am sure you paid your dues to get this point in your career. Anthony

    Rick:

    Great call on GMCR!  I have been trading for about 15 years actively.  This may be the best trade I ever made.  Got in on Monday, April 30 and the stock was up from when you recommended it.  It went up further after I got in.  Here are the facts:
    Monday, April 30th: Bought 15 June 37's at $1.25= $1900 approx
    Thursday, May 3rd: Sold 15 June 37's at $9.30=$13,950
    Gain for the week: $12,050.
    I understand you will not get them all right.  It’s important to ride those winners and as you could tell from my selling price, I sold when the stock went to $28.10, so left a little on the table.  Who can complain.
    Keep the suggestions coming, looking for another jump on your FSLR, one that I have been riding very hard.
    Best regards, Bob
      

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