Trend Setting Strategy

Taking a long term outlook based on positive trend strategy. Selling Puts on longer expiring terms is one way towards setting a bullish EOY stock performance.

Important note: Its a highly risky move due to the nature of options by selling PUTS. To put it simply you will need to buy the stock at strike prices when it expires or even midway when ITM and its exercised early or margin calls

Having said that, Selling PUTs is a common strategy to position and worst case scenario buy cheaper stocks due to the initial premium received at the ideal strike price. As compared to buying the stock now.

Typically when I think of diving in to buy a stock now and time it with earnings season,

For bulish sentiments, I can either buy the stock now or take an option position to buy calls or sell puts. Both strategies has its pros and cons.

If I’m bearish, I can sell stocks I’m holding and buy them back or take a covered call position and sell call. Or buy Puts. I do not advocate to sell naked calls due to the inherent risks.

Below are example of long term option position undertaken. (Sold PUTS)

$Tesla (TSLA.US)$

$Apple (AAPL.US)$

Half year review on performace: 33%

What I like about MooMoo indicators are, they give you a quick reference on where the stock is positioned to make better decisions.

VWAP: For me it tells me if I enter now am I buying at the average or higher/lower than others on that day.