Day Trade From the Long Side and Sell Bullish Put Spreads

June 30, 2016
Author: Peter Stolcers, Founder of OneOption

Thursday 9:30 AM ET - Market is completely shrugging off Brexit. Friday could be very slow. The market floated back into the trading range and the action will quiet down. We are back above the 200-day, 100-day and horizontal resistance at SPY $204. End of quarter window dressing attracted buyers. Earnings season is right around the corner and that typically attracts buyers. The 4th of July holiday is a few days away and major holidays tend to be bullish. Central banks are printing money like mad and they will be dovish after the Brexit news. Many Asset Managers are still in a state of denial. They can't believe England voted to leave the EU. Many believe that the EU will negotiate terms for migrant workers and that England will remain in the EU All of these influences kept the market from falling this week. Look for a bullish day today. I will be day trading from the long side today. Look for a bullish day today I will be trading from the long side and I will only trade for a few hours The afternoon session has been flat Given this rebound, upside limited The shock of Brexit is over and the market should be able to tread water. This is a good time to sell OTM put spreads. Find stocks that have major tech support below the current price. Sell puts that are below that support. If the support level is breached, buy back the puts. If support holds, let time decay work its magic. Chat room members will be posting bullish put spreads in the chat room today and I will analyze them. This is a good time for credit spreaders to take the 1 week free trial Once the market drifts back into the range, the action will slow down. The holiday will also drain the life out of the market. Both events are good for premium selling strategies. . . image

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