The VIX’s Inflection Point
Friday afternoon’s rally was bullish for the day, sure. And the VIX curve has started to flatten up – February futures are falling.
But March is still holding firm. The bearish trend hasn’t broken, and we’re still in backwardation.
Just because we go up doesn’t mean we’re bullish.
Friday’s rally was led by Apple – and with 460 companies reporting earnings this week, including mega-caps like Alibaba, Google, and Amazon – all it’ll take is a single bad report to send the market crashing again.
So, protect yourself from the volatility… and make money doing it.
All you need to do is use this volatility trading strategy if you want a chance to profit during what could be the worst sell-off in decades.
My VIX light is still green…
Buy the Dip on This Banking ETF
We’re looking at a straight call buy here – 8,510 of the March 18, 2022 $83 calls, to be exact, paying $161,690 total.
Now, the banking ETF did fall with the rest of the market this month…
But now is a good time to buy the dip – and play this thing higher, piggybacking today’s big-money trader.
The March 18, 2022 $77 calls are a lot closer to being in-the-money (ITM) by March than the $83s, considering the stock opened just below $70.50 this morning.
And for this asymmetric play, you’ve only got to drop $1.
Play Apple’s Run to $180
- Apple Inc. (Nasdaq:AAPL)
AAPL led the market’s Friday afternoon rally – and those who joined my Profit Revolution chat room had the chance to play it with an unofficial “riff” that I dropped…
When I typed this trade, these calls were a measly 10 cents with hours until expiration.
But by 4pm, they were up 150% as AAPL blew higher.
Today, AAPL is continuing its run, and I think it could make a move to $180. And this week in the Profit Revolution trading room, I’m looking at calls and call flies for the week that I think will profit just like that Friday afternoon call.
Interested in joining? Click here or give my team a call at 877.212.9163.
- ARK Innovation ETF (NYSEARCA:ARKK)
This thing could have finally bottomed:
After falling for weeks, ARKK is up big today. And I might look at a bull play here on Cathie Wood’s ETF.
- CSX Corp. (Nasdaq:CSX)
Now that earnings are out and the move lower has been digested, I want to get long CSX…
And I’d be a buyer of the March $35 calls to do so.
Catch me live TOMORROW at 10:30 AM in the main room to watch me break down the VIX light, big money flow, and my Watchlist… live.
Add this event to your calendar here
Founder, Profit Takeover
January 31 2022