Weekly Review SEP 29, 2024

Well it’s here. It comes every year. The 2nd most anticipated day in the stock investing world. It’s the 1st day of the 4th quarter. This year it will be on this Tuesday, OCT 1, 2024. Many consider it to be “The Home Stretch” Fund managers will adjust to try and show gains on their books. Retail investors that missed out on this years monster moves will try to play catch up. Typically the 4th quarter is good for investors. Right now what we’re contending with is The Labor Market, how it performs may guide investors to rotate into defensive plays. The S+P is up over 12% on the year. If the Labor Market combined with economic data such as earnings doesn’t shift investor sentiment, a continuation of the rally wouldn’t be unfathomable. And of course lets not forget the November election, flip a quarter as to the markets reaction to that.

We here at theoptionscoach.net have had a seriously big run of our own lately. I’ve shared it with all of you along the way. I’ve talked about “The $50,000.00 Challenge” and outlined how we did it. That’s not a every day thing, not the way we did it. I won’t lie to you it’s not. What made it so special wasn’t the 330% increase in just 2 weeks, it was that the vast majority of the time we were in lower risk, easy to manage Options strategies and NOT swinging for the fences.

I’ve been on the hunt trying to find fresh opportunities that could offer us those kind of returns again. Stocks look tired here, some including a few of the names we speak about look great on the weekly charts but are less convincing on the daily charts. Take CAT for example. The daily has some wiffle waffling while the weekly is marching on. It could be a total fake out and we would welcome that as we have it on our radar ( as well as a few active plays still ) and ready to go when we get the signal, IFFFF we get the signal.

Right now we have a list of fresh names, all trying to break out of the boxes and all looking for advancement. It’s no great secret that I talk all the time about the importance of keeping a Watch List. I work on them daily, I also have notebooks filled with nothing but those W.L. Why keep them? Because I like to go back, and see if any are ever in or breaking out of new bases. Sometimes they aren’t, sometimes they are… This list is only one week old, it’s from last Sunday night well after I had sent out the Weekly Review. I just checked, most of these names are just starting their new advancements. This week I plan to do a deeper dive since it’s the start of the 4th quarter. Earnings season will be here in just a few weeks. MAKE SURE TO CHECK BEFORE EVER ENTERING ANY NEW POSITIONS

This past week those stocks performed like this::
ADI +2.32%
CEG +0.79%
CSL + 1.74%
H +2.23%
HLT +4.33% ( Remember me mentioning this one on Wednesday was looking for B/O? It broke out on Thursday )
MAC +1.70%
VRT + 4.09%

Our own stocks did this:
AMZN -1.89%
CAT +6.00%
NVDA +4.66%
SN +0.22%
SFM +2.07%
S+P 500 +0.57%

Sometimes I’ll hear from investors asking what new or best ideas I have. One thing that I am 100% certain of is it’s not always the underlying, but rather the strategy that you use. The entry, the management along the way ( with Options you can change positions during the game ) and the exits. Also when investing, it doesn’t matter whether its with options, or just stocks only. You have to think of names like SFM, or CAT, they both have had tremendous moves over the past few months. SFM is up over 55% since we reported it to you only 5 months ago. The moral of that story is that there is no perfect stock, there’s not. Trying to over think things rarely goes far. In my opinion that is the #1 worst thing investors do time and time and time again, over and over and over again, and then again some more…. Find what produces for you, if it works stay with it, and be flexible along the way….. Tomorrow is another day

The Options Coach