Thread by @StocksAfterDark

How to Read my Chart:

E = Early Entry
S = Safer Entry
D = Daily Entry (Previous Day High / Low)
Wk = Weekly Entry (Previous Week High / Low)
BF = Broadening Formation
D/UTL = Down/Up Trendline
IB = Inside Bar1⃣
OB = Outside Bar3⃣
FTC = Full Time Frame

#StocksafterDark #SADTips

#SADnation - You do NOT need to trade every Day. You do NOT need to hit the🌙on each trade. You do NOT need to go ALL in. You do NEED a plan & CONSISTENCY is🔑

2022 has 251 days:

$100/D = $25.1K
$500/D = 125.5K
$1K/D = 251K
$5K/D = $1.25M

2023 = 250D

#SADucation #SADtips

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#SADnation Have you gone 🟢➡️🔴?

Have a 🎯 & 🛑 in mind before entering into a trade.

Learn to scale out of your positions & adjust your 🛑Where you place them is your personal Risk➡️Reward tolerance.

Learn to get ⬆️ & walkaway when you’re🟢.

5% > -1%

Wins compound.

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Start out by keeping your lot sizes the same, meaning dollar value.

1 $SPY 22 JUL is ~$4
1 $TSLA 22 JUL is $~$29

You WIN 4x on #SPY vs LOSE 1 on #TSLA & you’re still 🔴

Focus on the long game. Not the instant gratification. Every trade starts new.

#SADucation #SADtips

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Earnings Release Strategy:

Straddle - buy or sell both C & P w/same strike/expiration.

▫️A long strad 💸 when volatility ⬆️ & price moves by a large amount, but it doesn't matter whether it's to the ⬆️or⬇️

▫️A short strad 💸 when volatility ⬇️ & price has not moved much

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E.R. Part II

Strangle - buy C & P w/different strike but w/same exp.

▫️Long - buy OTM C & P w/ same exp. Good for large price movement in the near future but uncertain of ↕️

▫️Short - sell OTM C & P w/ same exp. Good for minimal movement in price ↔️

#SADucation #SADtips

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Fees are not something a lot of new traders pay attention. They can add up real fast & crush your P/L w/o you realizing it.

ToS charged $0.65/option.

1 option is $1.30 in fee (open/close). You’re already down when you enter the trade.

10 contracts = $13
100 = $130

Here’s some free gains w/o even having to trade.

Call your broker up & ask them to reduce your fees.

They will because they want your business. They make money regardless if you W/L.

I’ve gotten mine reduced on thinkorswim. The secrets out 🤫

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#SADucation #SADtips

$SPY - $QQQ

If you trade either of these ETFs, it's good to get yourself familiar w/what each is comprised of & how heavy each ticker is weighted

This will effect the way each move

I have a QUAD chart up showing the top 4 when trading either #SPY #QQQ

#SADucation #SADTips

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Quad Chart

$SPY $AMZN $AAPL $MSFT / $QQQ

#SPY #AMZN #AAPL #MSFT #QQQ

#SADucation #SADTips

OCO (One-Cancels-the-Other Order). It's a powerful tool if used correctly. The essence behind this is it allows you to enter a trade w/conditions.

Ex: BTO SPY 400C @ $1 w/Stop at $0.90 & profit taking at $1.30

Whichever condition met 1st will trigger.

#SADucation #SADTips

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OCO acts as if you were an algo trading. You execute the trade & let it play out.

You can still manually adjust the order especially if you see that it's moving in your direction.

Where you set your parameters is based on your Risk/Reward Tolerance & the equity you're trading

Long-Term Equity Anticipation Securities (LEAPS) are options with an expiration > 1 year.

These are meant for longer trend plays vs short term fluctuations. While your gains may be slower, your risk is also minimized

Below is an Ex. of $SPY 15 DEC 23 500 Strike

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#SADucation

You can see over the next 17 months, #SPY needs to be around 510 for you to be break even.

This allows you not get to worried about choppy markets. Something to consider if DAY trading doesn't suit you or your schedule doesn't permit you to.

#SADTips

$SPY - #SADnation here's a recap of the trades I took on 7/29 & shared with you on twit. Please read it carefully to see why I took the trades where I did

Rmb, I trade on the 3/5/10/15 min. Also pay attention to if it was a 'Scalp' or not

See what you would've done

#SPY

🔟

$SPY I've been asked many times about how to get great and/or quick entries.

1. You can Market order (quick)
2. Set Limit orders

Here's a chart back in FEB 28th. #SPY is currently at 432.68. If I was still anticipating a bullish movement, I would pick a call option & set.....

a limit order based on where I think the price may pull back to. First Call was set for 432.55 which would set the limit for the 433C at 2.65 vs the current price of 2.71.

2nd 433C was set for 432 which translate to 2.43.

The same can be done for PUTSs. 431P was set for 433.2..

which translate 1.66 vs 2.15. This allows you to quickly get filled if it hits your limit. More often than not, I've found traders not getting into a play because their limit orders don't get filled because the market is moving too fast & then they scramble to get in or MKT order

Doing a MKT order during such volatility usually gives you a bad fill. Doing anticipatory/conditional limit orders can also be beneficial because if you expect a pull back & then a quick rejection off it, once you get filled you're almost instantly green already & usually up big.

I've use this method a lot in conjunction w/my levels that I put out for you all daily. This also works great during high volatility events such as FOMC/CPI/etc.

You can do the same for a sell to close order as well. This way you don't miss a chance to exit/take profits.

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Futures Market Tickers / Tick Size / Trading Hours / etc.

Get yourself familiar with it. #SADnation is more than just Call/Puts options.

$ES_F $NQ_F $NQ $SPY $QQQ #SPY #NQ_F #ES_F #QQQ

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