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Monday, October 28, 2019, 1452ET
Targets & Trade Setup for Issue #312
Our current Market Bias with Timer Digest is SHORT SPX as of OCT 22 from 2995
Our previous Market Bias was FLAT SPX as of OCT 15 from 2995
Here are the trade parameters for this week:
SPX Money Management Stop for 100% of our position = 3080
SPX BreakEven Stop (Current Price) for last 20% of our position = 3041
SPX Primary Profit Target for first 80% of our position = 3000
SPX Secondary Profit Target for last 20% of our position = 2970
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| Action |
Asset |
Expiration |
Strike |
Option |
Mid-Point |
| BUY |
SPY |
Friday NOV 22 |
303 |
Puts |
3.11 |
| SELL SHORT |
SPY |
Friday NOV 22 |
297 |
Puts |
1.64 |
| You need to execute both legs and hold it as a Put-Spread.
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Note A:
Once the Primary Profit Target has been reached, traders are advised to close 80% of their position in order to lock in profits. The remaining balance can be carried over with a BreakEven STOP, based on the SPX level at the time of entry, in order to make the trade a zero-risk trade with the final position running to reach the Secondary Profit Target.
Once either Secondary Profit or Money Management (BreakEven STOP after the 80% peel-off) is hit, our Option/ETF trade for that week is over. Go to Cash and wait for the next PMT Issue.
Note B:
When we change our Market Bias with Timer Digest, You need to go FLAT asap. With PMT Pro, that is before the Close that day and with the basic PMT, at the open of the next day. The following trading day, we will issue new SPX targets and a new SPY options trade, as long our new market bias with Timer Digest is NOT flat.
Fari Hamzei
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Proactive Market Timing
