With tomorrow's options expiration the intermediate term options portfolio will be down to only three positions: There have been a few buy signals in our basket of trading stocks but exorbitant call prices have inflated the risk side of risk/reward considerations. This "irrational exuberance" on the call premium side is not conducive to profitable option trading and could be a sign of an imminent intermediate term correction in the market. The good news out of such an event would be an opportunity to buy calls in TSLA, SQ, PYPL, etc. on the other side of the downturn. The other good news is that if conditions are right we may be could be trading some fresh individual stock downtrends. Speaking of which watch for a hard break below today's lows for the potential acceleration of a new leg down: QQQ < 328.25 SPY < 387.75 IWM < 219.40 DJIA < 31,550 As for Bitcoin, the all time high is around 52,650, which is up almost 50% from just one month ago. During that same time, GBTC and MSTR are both up north of 80%. In other words options-like returns without the risks of options. It is important for our trading results that we be cognizant of where the big return opportunities are coming from, and not chase high-risk / low-reward trades just to keep busy.
