No charts to talk about today. I will show you an options chain with the type of trade I am interested in. But first a little about “context”. The environment we are in for the short term, throw out all your Bollinger Bands, RSI’s, your VIX studies and options Greeks, throw out my Scoupe Suite Strategy and my X Ray. All of those are for 99%%+ of market conditions. My advice, don’t listen to any voices saying there is nothing to worry about, the market always goes up with a war. This is something different. If either side in this situation is under the illusions of hubris, that side is going to feel the full brunt of the situation, and it’s going to have global impact. The next week, or at most two weeks is that window in my view. 

The attached option chain for SPY. The SPY closed 680. Buy March 13 700 call sell March 13 680 call. This is called a bearish vertical call spread. Margin cost of $1100. Risk is capped at $1100 reward is capped at $900. However as long as the SPY trades below 689 by next Friday position is a full winner. Time works for the trade. Since the SPY closed at 680, the trade has a built in 9 point cushion out of the gate. 

Thanks,

Joe

If you are avoiding jumping into wild, unpredictable, live wire trades and are looking for the highest probability moves that get lost in the endless babble of the “gurus” and so called talking heads, check this out. I designed it to cut out the BS and get me right to the trades I would recommend to my family. click here.