Pre Market JAN 14, 2025

Stocks are mixed this morning here in the Pre Market
Very, very mixed

I stress that because if you were to open the website of the stock news outlets, especially the one with the “Screaming Guy” on it, they all will say “stocks are higher this morning!"

Some are, some aren’t….
Everyone likes a good headline, but the headlines today aren’t “Mathematically accurate”
No one has any data that I don’t have, I literally look at the real time numbers as they happen….. All professional traders can see the same

The inflation report comes out today, it’s supposed to be good, the headlines are built off of that, not that the majority of stocks are either red or flat, while some are green

This is “Timing” Last night a buddy of mine called, he’s a former Hedge Fund manager, not just here in the U.S. but he ran one overseas in the Asian markets for a while too

He wanted to know how we here at theoptionscoach.net are able to get such great returns using lower risk stocks for our Options

Think WMT that only moved 2.3% last week but we got a 74% return
CRS moved 8% and we got a 82% return

How we do it is we focus on “P.O.P.” ( Probability Of Profit )
We have a 17 point checklist that doesn’t even go into play until after the underlying passes all of the criteria in our scan

One of the things that we “DO NOT DO” is buy right before earnings
Not with stocks at least, no way
With Options if we are bullish we can utilize strategies that already have built in protection to the downside
Strats like::
Bull Call Spread’s
Calendar Spreads
Either of those sound familiar?

Banks start tomorrow
One of my all time favorite chart patterns is “The Breathing Dragon”
It’s a very bullish chart pattern ( not to be confused with “The Puking Dragon” which is bearish )
This is WFC ( below ) that reports tomorrow, take a look 😁 

NVDA now up 2%
META and UNH are both red
AMZN up 1%
CAT is green by 0.80% it’s now back in play
Options on it coming soon

S+P 500 Support is at 5,750 still
Time to grind

The Options Coach

Side Note:
There’s a chance that todays afternoon edition will go out later than normal