The weekly thread for actual trading opportunities (Futures, Forex, Stocks, ETFs ...) and general market discussions.

Trade well!

Careful here, it has that about to flush look. I'm really surprised they aren't running this unitl close ahead of AAPL. I wonder if someone knows something?

Well, they came in at the last minute and saved it, again. Range for these last few minutes, or one of those right at the close and after cash bursts up? Who knows, and really, who cares at this point. Can't wait to see what those AAPL calls look like after the bell. Whatever happened to sell the news? Now they run it up to the news and explode on the news.

Okay, let's see if someone did know something in AAPL. Let me guess, it spikes down, and then either rockets up, or stays down, then they run it in the premarket tomorrow and it opens on a gap up.

Most likley is just up, but I really expect some games here. Something seems 'odd'.

Futures really dumping...

Okay, huge beat, monster explosion, calls will be sweet. Same old, same old :-)

quote:

---

Originally posted by jimkane

Noticing something curious, though. Look at a 1-min on AAPL. Why would this be selling? We all know AAPL will beat by a lot, 'knock the cover off the ball', and explode maybe 20-30. So, are they just scaring it down to do some more accumulation at a better price? AAPL is arguably the most important stock in this entire 'bull market'. It must explode on the news. So, I'm thinking buy this dip big-time right here. Not a recommendation, just a comment.

---

The price when I posted this was just over 187. Just hit 204.85 and rising, a new all-time high. Hmmm, not bad, eh? Those calls should be huge tomorrow.

Jimadamus, Jimadamus, ...Jimadamus
Jimadamus, Jimadamus, ...Jimadamus
Rock, rock, rock me, Jimadamus...

Sung to the tune of 'Rock me, Amadeus' by Falco

And yes, I am just funning around, I make no predictions, no claims, and never any recommendations. I will admit, they did scare me a little until they came in right at my area and bought that dip.

Jimadamus again.........and again...and again..it is like those songs you just cant get out of you head...now what will tomorrow bring..seems fishy to me but will leave the insights to Jimadamus.

When I said above they scared me a little, I meant I was worried the pattern wasn't going to hold any more, and that they wouldn't come in at my area there, or follow through. But, it's still intact. It's very obvious by now, and many must be playing it to create these huge pops, so one day it will end abruptly, but like a trend, I look to lean on something until it breaks. I was hoping this would last a bit longer.

Okay, so what if someone bought calls instead of stock in here, and decided they think AAPL topped out there and may start to roll down, or for whatever reason they want to take profits now and not wait for the morning, but they can't trade the options right now? Here's one approach. I'm not recommending anything, just saying here's a technique that can be used to essentially flatten a position. Say I have 10 option contracts, and after a huge pop they are deep in the money, with essentially no time value to them. I can short 1,000 shares at the current price, and I've essentially flattened my position and locked in my profits right there.

No matter what happens the next day, up or down, I'm basically flat. I then just look to take off both positions (in one transaction preferably to reduce the risk of some bizarre shock event happening when only one leg of the position is still on), and that's that. Again, this is a way to essentially close out a deep ITM option position in the after hours, if one wanted to close out such a position. I'm not saying I don't think AAPL might not be at 220 tomorrow, only that if I wanted to effectively close an option position here I could.

Okay, I'll solve the mystery. I probably should have left this for a day to see what anyone might come up with, but I want to finish up my week here, so I'll go ahead.

Note that this is not the basis for my trading, only one more factor I can add to my methodology when I see it. SL comes in, so I put the standard SL set on there, and watch the ML. Among many other things, it overlaps with an obvious .300 and .564. Hence the 78 (maybe 77.75?)





I also noticed another SL and set for that, and the upper // hits at the obvious .886 at 77.50, right in the general area.





It's splitting hairs to try to call these two areas, or to try to find an ES area even as small as two ticks, so in reality all this is one area, and it hit it dead on. I never should have said I was watching 78, instead I should have said 77.75 plus or minus a tick or two, but I really thought it might want to hit that ML dead on and quit right there for the week. So, that's one of the things I was watching for that mystery area...


Charts created on QCharts, courtesy eSignal.