New Money Link Trade Alert:
If you're new to Money Link or have any questions about how to allocate stock positions vs. options or how to execute Money Link trades, watch this video first.
Hey guys,
I’ve got some new trades for you this morning:
First we’ll exit a Core Portfolio position:
SELL PYPL at $189.40 or HIGHER.
BUY TO COVER V at $200.23 or LOWER.
For the Options Play:
SELL PYPL 8/21/20 $165 CALL at $25.00 or HIGHER.
The V PUT was already stopped out.
We have some other options that expire this Friday, 8/21/20. Here's what we'll do with them:
SELL AMZN 8/21/20 $2,950.00 CALLS at $195.00 OR HIGHER. Roll into 9/18/20 $3,150.00 CALLS at $169.00 or LESS, and try and get filled as soon as possible.
SELL BABA 8/21/20 $250.00 PUT at $5.45 or HIGHER. Roll into 9/18/20 $250.00 PUTS at $15.00 or LESS, and try and get filled as soon as possible..
A quick note here:
GLD: I’m looking to exit the Swing Trade this week before Friday, and I’ll send an update as to where to exit the $168.00 calls later in the week.
Next I’m entering a new Core Portfolio position:
BUY JPM at $105.00 or LOWER.
SELL SHORT DB at $9.34 or HIGHER.
And here's the Options Play:
BUY JPM 9/18/20 $100 CALLS $8 or LOWER.
BUY DB 9/18/20 $10.00 PUTS at $1.25 or LOWER.
This is a classic Money Link.
At over 50% lower from recent highs, we have an opportunity to re-enter this Money Link at a very attractive level.
JPM should see an increase in bullish bets as the U.S continues to re-open.
And I expect the risk of downside is high with Deutsche Bank, after the stock rallied very hard the last few months.
Europe and Germany in particular have seen a less robust recovery in their economic activities. And the stock for Deutsche Bank is up 22% this year, while the German DAX index is down -2.5%. More European weakness could lead to a real sell-off in DB.
It’s important to execute both sides of the link at the same time and to respect the limit levels mentioned above -- never chase a trade.
LFG!
Jeff Zananiri
Joy of the Trade