Pre Market MAR 20, 2025

Stocks are slightly “reddish” in the Pre Market today
No major selling but not much to cheer about either

The more time that passes the charts appear to be showing that stocks could be forming new bases rather than big break outs and rebounds
And one thing we here at theoptionscoach.net have been asking, “Is it a rally or a dead cat bounce?”

Timing, timing is not easy, and for some its even harder. I have a weird, freakishly weird sense of timing. Always have, even as a kid. One my my own kids wishes she had it when it comes to cooking, I don’t use timers, heck I don’t even wear a watch. My dad was asked when I was about 9 or 10 what time we would be getting to Grandmas for Easter, his response was “I don’t know, go ask Capt Timer” lol….. My dads tried to trick me, we will be somewhere and he’ll ask me what time it is, I tell him, he asks how I knew, then I say I read the shadow from the sun, it was dark out 🤣 🤣 🤣 

Timing the markets doesn’t always work. Cycles are real, I believe in them, but when calling exact bottoms or tops, one has to conclude involves an element of luck
One thing we do have to our advantage as Options investors is “Call Walls” where we can see where the most buying is happening
Or “Put Walls” where we can see the most selling
We are also fans of using “Order Flow”

Add them all together and when the time is right, good things can happen

We don’t buy long when a stock is red or on a down day
We always buy at the MID price or better
We don’t chase stocks
We set STOPS and HONOR them

JPM
For investors that are bullish
APR 17, 2025
Bull Call Spreads
237.5 / 242.5 are 2.29 at the MID ( that’s not bad )
237.5 / 245s are 2.76 at the MID ( that’s not bad either )

Should this mornings selloff reverse and an investor was willing to take on risk with no downside protection
APR 17, 2025
Blind Calls
The 245 Strike is going for 4.90 at the MID

MAY 16, 2025
Blind Calls
The 245 again is 7.40 at the MID
The extra premium is paying for that additional month of time
While there is no downside protection you are getting more time for it to play out

S+P 500 Support is 5,680
Time to grind

The Options Coach