by Ian Harvey
December 02, 2018
A Quick Review of Last
Stocks bounced back with in a big way last week, due to some cautious words from the Fed, as well some optimism ahead of the critical meeting between U.S. President Donald Trump and China President Xi Jinping at the G-20 summit over the weekend.
After the meeting Larry Kudlow, the president's top economic adviser, told reporters that Trump and Xi's meeting went "very well." US President Donald Trump and his Chinese counterpart Xi Jinping have agreed to halt new trade tariffs for 90 days to allow for talks, the US says.
The White House says in a statement, “that the US tariffs on Chinese goods will remain unchanged for 90 days, but warns: If at the end of this period of time, the parties are unable to reach an agreement, the 10 percent tariffs will be raised to 25 percent.”
The US says China agreed to "purchase a not yet agreed upon, but very substantial, amount of agricultural, energy, industrial, and other products from the United States to reduce the trade imbalance between our two countries".
Both sides also pledged to "immediately begin negotiations on structural changes with respect to forced technology transfer, intellectual property protection, non-tariff barriers, cyber intrusions and cyber theft", the White House says.
For the week, the Dow Jones Industrial Average (DJI) finished up 5.2% at 25.538.46. And for November it advanced 1.7%.
The S&P 500 Index (SPX) was up 4.9% at 2,760.16 for the week; and gaining 1.8% in November.
And the Nasdaq Composite (IXIC) also up at 5.6% for the week closing at 7,330.54; and gaining 0.3% in November.
The positive outcome of Saturday's Trump-Xi dinner will
likely impact stocks on Monday, as Wall Street hopes for a progress on
U.S.-China trade actually seems to happening. As well, Fed Chair Jerome Powell
will speak again during the week.
Also, November jobs data and a few retail earnings reports will be on the cards.
CONTROL OF EMOTIONS AND LESS PANIC WILL HELP YOUR PROFIT MARGIN!Reviewing the Earnings Predictions from Last Week…..
“EARNINGS for LAST WEEK”!
|November 27, 2018||NTNX DEC 21 2018 42.500 CALL||P.P: 57%|
|November 27, 2018||CRM DEC 21 2018 125.000 CALL||P.P: 275%|
|November 28, 2018||WB DEC 21 2018 55.000 PUT||P.L: -57%|
|November 28, 2018||DKS DEC 21 2018 33.000 PUT||bought for .75 - P.P: 41%|
|November 29, 2018||PANW DEC 21 2018 170.000 CALL||P.P. 173.5%|
|November 29, 2018||DLTR DEC 21 2018 80.000 PUT||P.L: -96%|
TOTAL potential profit for these 5 trades= P.P: 393.5%.
Options Trades to Consider Based on Expected Earnings Reports:
Monday, December 03
Coupa Software Inc (NASDAQ: COUP), a cloud-based management
system that helps clients control spending, will report earnings after the
market closes. The consensus estimate is for a loss of $0.03 per share on
revenue of $62.53 million; but the Whisper number is higher at $0.00 per share.
The company's guidance was for a loss of $0.04 to $0.01 per share on revenue of
$62.00 million to $63.00 million. Consensus estimates are for year-over-year
earnings growth of 40.00% with revenue increasing by 32.09%.
There are several positive factors that should benefit Coupa….
DON'T MISS OUT - MORE TO COME!
Don’t miss out – check out further options trades recommended for the week ahead by becoming a member of Stock Options Made Easy “Earnings Predictions”.
An Important Note: That these suggestions for options trade considerations require investors/traders to use their own discretion as to when to enter or exit! As well, it is advisable to do further research and due diligence before executing your trade.
It is sometimes best to exit a trade, if there is already sufficient profit accrued, before an earnings report is presented.
OUT WHILST THE GOING IS GOOD!
GREED CAN BE THE UNDOING OF A GOOD PROFIT!
If you wish to receive more options trading recommendations similar to this, which will help boost your portfolio strategy, check out the other memberships available at Stock Options Made Easy.
When To Exit A Trade Based On Earnings?.....
It is also worth considering, when options trading earnings reports – “Do we exit on already existing profits or leave the companies to report their earnings and hope for bigger profit?”
traders realize, there is a 50/50 chance that the company stock price could go
either way after reporting earnings – even if the report is good, the stock
price could reverse – and if you hold a call option, means depletion of an
already good profit if it exists. A similar situation can be found if you hold
a put option, and a report is not that sound (and you expect a profit from
this) but the stock price can, at times move upwards due to traders bias or
other external conditions......READ MORE.....
The Decision Is Yours!
Before You Trade Consider This Strategy……
"Trading Capital Management" is a key component of your trading strategy. The strategy, on which we base our trades to achieve maximum profit, and to minimize loss, is contingent on using an equal amount of money for each trade.……continue reading this article……
”Success is simple. Do what's right, the right way, at the right time.”
Option Tip for your Success!
Options traders are not successful because they win.
Options traders win because they are successful.