It is noteworthy that Oil is tarting to breakout to the upside, while a mixed market at best is churning along sideways across most high tech names. Some of the formerly big winners have already started breaking down. Two new trades with excellent risk:reward set-ups. Breaking Out: Oil XLE Teetering Toward The Downside NFLX, GOOGL, NVDA New Trades XLE - Long NVDA - Short CHARTS & OPTIONS XLE 2-Day First tranche now, second trance on a breakout above $65 XLE Jul $58C Buy XLE Jul $58C now; add on break above $65. Or Buy full position of Sep expiration $60 strike, now. NVDA 180 Minute A higher risk, but high reward speculation that NVDA is starting five waves down. Key is what happens at lower parallel channel support, circa $215-$212. A break below $210 and then below $200 seals the deal, but by then, these puts will be much more expensive. Risk 50% to make 300%+. Buy now, or wait for break below $210, or even $200, but by then, expect to either pay up for the $190P, or, buy one of the above lower priced strikes: $185-$180-$175. LATE ADD: SPY - Big Picture Five waves up with a throw-over of Wave 1-3 trendline SPY - Warning As of mid-session Wednesday, a breakdown of Wave 5 up channel. Keep these two SPY charts in mind as the market churns around these levels. Reason enough to own some puts, whether it be in NVDA or SPY, if a top is in, everything is going down. OPTIONAL: Quick & Dirty SPY Puts If Bottom Begins To Fall Out SPY Puts: Not an official trade unless market begins to nosedive between updates. Go to July expiration and look for about a $5-$6 priced strike.
