PeakTrader.com

[administrator]

Fri: Top Buys OEX Top Sells SPY

Primary Trades:

SPX may continue to trade around 1,275, until the end of next week. So, there may be opportunities to trade OEX Mar 570 calls and SPY Apr 130 puts, for example, taking advantage of volatility and hedging (to perhaps eventually make gains on both calls and puts). However, the primary trend over the next two months is down. It's generally unnecessary to trade individual stocks at this point, because OEX and SPY are volatile enough. Nonetheless, I'll add new fundamentally overvalued and undervalued individual stocks this weekend.

Secondary Trades:

None

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Primary Trade: An intermediate or long term trade. Timing can be off substantially. Volatility not a factor. Risk is low to moderate. Potential return is often moderate.

Secondary Trade: A short term trade. Timing must be accurate or volatility must be high. Risk is high. Potential return is high.

Secondary Trades should be generally avoided, although considered. Note: If Secondary Trades are taken, they may affect Primary Trades.