These are the best trading days in 35 years
If you're not having one of the best trading days of your life right now, you're clearly doing something wrong. Today is beyond epic.
Let me explain exactly what happened.
Last night, I reiterated that the market has been in a downtrend for six weeks. It was inevitably going to test the recent double bottom—right around the $686.25 area on the $QQQ.
This morning, we gapped down slightly. I told everyone: wait. Normally we'd be buying it, but let's wait to see if we test that support. We got there. We covered our shorts. We got paid handsomely.
And then I reminded everyone: the market never stays down.
The shorts got overexcited. They thought it was going to keep dumping. But after it tested 3 months of support, what do you want from me? You want to see it bounce.
It's not because I made it happen. It's because that's how the market works. We waited for confirmation. The $QQQ broke VWAP. That was our signal that the selling was done for the day.
- We entered the $690 calls for $3.
- Those options went to $10.
- A 10-point move on the underlying.
And it wasn't just the overall market.
We had $RMBS. We hated owning it for the last 3 months because it kept grinding down. But today, it broke VWAP at $94 and shot up 10 points. Have a nice day. You're done.
Then there was $NFLX. It was getting killed. But then it broke VWAP, we bought it, and it went up 3 points. It's not about what you think the story is; it's about VWAP breaks on earnings reports.
We saw it on $AA. It looked terrible, until it broke VWAP and paid us. Then it broke VWAP again and paid us again.
We traded $SPCX. I said it was going to $122.50. It hit $122.50, the buyers stepped in, so we bought it.
We even got paid on $AGQ. People tell me, "Kenny, I thought you said silver stinks." Yeah, but then it broke VWAP and went to the orange line, so it doesn't stink anymore. We made $1,000 on that trade.
It's all price action.
These are the best trading days I've seen in my 35-year career. I'm giving you the playbook to these trades every single day. I hope you didn't blow it.
I recorded a quick video summarizing all the madness from today. Click the link below to watch the tape.
If you’re already inside the room, I’ll see you next week. If you’re not in here yet, you need to fix that.
Have a great weekend.
Kenny Glick | Founder, Hit The Bid
P.S. $3 to $10 on the QQQ calls. 10 points on Rambus. 3 points on Netflix. $1,000 on silver. All using the exact same VWAP logic. If you're tired of guessing, come learn the system.
