Remember how last week I talked about the daily RSI on the S&P 500?
If you’ll recall, when the RSI breaks the 30 level, that makes the market officially oversold…
Well, this morning, it hit 29. We’re at our most oversold point since February.
That doesn’t mean we can’t get MORE oversold. As an extra precaution, in the event of another smackdown, I added put detectors to all of my scanners.
But I’m still bullish in my gut. If you ask me, we have to be nearing a bottom soon.
Regardless, my rules from last Friday still apply; mainly trading smaller and using 50% stop losses on all trades for the foreseeable future.
But just because we’re trading more conservatively, doesn’t mean we aren’t seeing opportunity to the upside and pouncing on it.
Last week I spotted some unusual activity in Las Vegas Sands (LVS), so I recommended calls…
My scanners showed someone betting big on LVS, despite the fact that it spent the entire week in the dumps. It fell 12% from the Tuesday highs.
But on market open today, LVS was 10% higher from Friday’s close, sending our call options surging…
Even as the broad market continues to slide today.
And as soon as the market opened, we took profits…
Michael got out at our second profit target of $0.56 and made $855!
Bob, Patrick, William, and Fred each made 100% profit.
But the biggest winners in LVS came a few minutes later:
There were dozens more testimonials just like these, but I don’t have room to include them all.
As for the biggest gain awards, bronze goes to Stephen with 158%…
Silver goes to Joseph with 180%…
And gold goes to Brian who held out and rode LVS up to $0.65 for a gain of 225%!
Great trading, people!
Now, why did LVS rage higher this morning?
It’s likely due to the news that China is easing Covid-19 restrictions in Macau, one of the world’s largest gambling destinations, in November.
Remember, this news dropped this morning… But we were in on this trade last week…
And all we did was follow the smart money to get here.
Did someone know something? I’d wager they did.
Here’s another bet I’m willing to take: If you’re not a Trade Kings member, you’re missing out!
I announce 10-20 signals in the Trade Room every morning.
All it takes is one hour each day to see returns like the folks mentioned above.
Now, on to the watchlist.
The Kings Corner Weekly Watchlist
When we have a great day of signals to start off the week, it always gets me excited for the watchlist and free trade.
I think a market reversal is coming soon, here’s what I like if it happens this week:
Citigroup Inc (C)
Amazon.com, Inc (AMZN)
Tesla Inc (TSLA)
Apple Inc (AAPL)
But whether the market itself rallies or not, my free trade idea is in one of my favorite tickers to trade:
Buy ARKK September 30, 2022 $42 calls (for $0.10 at the time of writing).
Remember, we won’t be tracking this free trade idea on any online portfolio. So, if you take it, you’re on your own.
And in general, if this idea makes profits of 50% or more, you should consider getting out of it for a decent gain.
As always, if you have success with it, or with any of the watchlist stocks, feel free to email me at TradeKings@banyanhill.com and tell me about it.
Great start to the week, let’s keep it up!
Editor, Kings Corner