One of the three on a set-up chart...

Watch list

Althought the market is currently in a bearish pullback or correction there are still some uptrending stocks that meet the naked put calculator criteria. The three below do not have dividends but are free of earnings now.  If the 12-18% B/E is not enough bullish comfort for you while in this bearish slide then consider adding another leg to convert to a credit spread. As alway trade to trade well.

An indicator worth indicating?

Well according to the link my friend Leon sent me, with an indicator that supposedly has an 80% accuracy we may want to ask our brokers to add this indicator to their trading platforms. The Super Bowl Indicator Either way I am still cheering for the Colts!!!!  Who are you cheering for?

Watch List

After running my scans this week and inputting them into the naked calculator I came up with the big goose egg for February naked puts. So my friends I ran another scan for the best fundamentally sound stocks still uptrending for you to ponder and apply whatever strategy you wish.  I just hate to leave anyone empty handed.

Yes we have no bananas

Thanks Bob and Kim...

As I mentioned in the previous post I was on the road since Thursday on a trip to the Detroit area. Mrs. J.R. and I decided to mix a little business and pleasure for a change so we attended the free Thinkorswim class being offered in Detroit on January 29th. We stayed at the Ritz Carlton in Dearborn where the class was being given and managed to squeeze in a couple nice dinners and take in a few sites (mainly shopping with the Mrs.)
As for the class, once again the Thinkorswim team did a marvelous job of presenting their trading platform and their educational program of Investools in a manner that was understandable as well as enjoyable to both beginning traders and experienced traders alike. There were over 130 people attending and over 50% had more than just a basic knowledge of options. Did I mention this was free.
The first instructor was Bob Groves. He did an excellent job of showing what the TOS platform was capable of and how easy trading options was on it. He gave several trade examples such as vertical spreads and iron condors and showed how to use the platform to find and execute them. He also shared with us the 10 biggest mistakes that traders make, which are;
1.Trading without a plan
2. Unrealistic expectations
3. Cutting profits short and letting losers run
4. Impatience leads to over trading
5. Improper position sizing
6. Lack of diversification
7. Trading illiquid products
8. Timing tops and bottoms
9. Trading against the trend
10. Focusing on being right

Ever made one of those mistakes? If not then you are not trading the in the same world I am.
Bob also gave us a brief but good run through of the Greeks where by most of the beginning traders probably left with a better understanding of delta, gamma, theta and vega than they had before arriving.
The second instructor was Kim Crowther. He gave a very good presentation on the bells and whistles of what Investools has to offer. He spent a lot of time covering the investors tool box and how the variety of searches there can help you find the stocks you are looking for in any market condition. He also spent some time covering the 7 step investing formula which is part of the basic education package.
At no time did either instructor make any claims that by using their products a trader would make any particular percentage growth to their accounts or that they guaranteed you to become the next Warren Buffet. As a matter of fact, out of the seven hours we spent in class only about 15 minutes were spent on promoting the sale of the basic package. So where was the catch? To make their clients (me and you) become better traders by understanding how to use their products, plain and simple.
Just to set you all straight, I am in no way being paid or compensated for this review. This is the third such FREE class I have taken from TOS and will not be the last. Even though I have been trading for some time now it is always good to hear what you may or may not already know for different people with different styles. This is one old dog willing to learn a new trick or two. This is from me and only me as one trader to another.

Delayed weekly wrap......

Sorry the wrap is a day or two late but I was on the road to and from Motown for a TOS class with both mobile devices not cooperating with connectivity. More on that later, however after attending the class I decided to take look at the SPX using the old Green arrow Red arrow approach we were all taught in our first classes way back when. In the upper right chart we have the daily which clearly shows bearish down turn with three red arrows. Going left to right the next chart is weekly. Although the MACD and STO both have red arrows but the 30MA has yet to be crossed for the third conformation of a down turn. Likewise the monthly in the lower left has been showing green on the MACD and STO but has not yet confirmed by crossing the 30MA. So between the weekly and the monthly we have come to a very important line of resistance and support at the same time. So do we breech or break? Who knows? The VIX knows but may not be telling just yet. As you can see in the lower right the VIX weekly went ballisticly green which is bearish a week ago and did not give up much ground this week resting on support of it's 30MA. So where am I? Cautiously bearish for the moment. If you were to throw a Market Forecast indicator and a market sentiment indicator on the SPX you would see that it is of slightly bearish sentiment but the forecast shows a bullish reversal cluster has formed. So as always, trade the now for what you see.

Still some Febuary pocket change left in this one..