It’s almost time to close your brokerage screen and bust out the flags, burgers and brews to celebrate Independence Day. But not so fast.
If you leave too early, you could miss out on some pre-July 4th fireworks in the form of today’s Trade of the Day!
The market closes early today, at 1 p.m. for stocks and 1:15 p.m. for options. But my plan is to have you out of today’s trade well before then with some explosive gains… just like we saw yesterday.
Traders who got in on yesterday’s trade could have banked up to 86% on a single SPY option in three hours. I’d say that falls into the “explosive gains” category, especially when you consider SPY was basically flat for the day.
And this definitely wasn’t a fluke. For the entire month of July, my Trade of the Day averaged a maximum potential daily return of 74%.
Let’s walk through yesterday’s trade so you can get a taste of how we’ve been knocking it out of the park lately.
Here’s what I sent Daily Profit Machine members 30 minutes before yesterday’s opening bell:
“Well, markets have definitely seen some wild movement since the premarket video I made this morning! One thing to take into account is bearish indicators setting up on extended hours here in the premarket below the $295.66 resistance level (Monday’s close). Especially heading into a holiday, I’m inclined to play the downside today by applying the exponential moving average (EMA) line crossover on a 5-minute chart to the downside.
“That said, don’t be surprised to see a pop at or near the open — maybe just enough of a pop to create a larger percentage opportunity to the downside. Now that would be awesome. In order for this to take place on my end, SPY would need to be trading below $295.66.
“The crossover is the best way to approach a fairly flat open because it basically makes the chart come to you rather than guessing. For many of the most experienced traders I work with, it becomes their favorite pattern with time.”
And things played out just as I predicted they would.
SPY immediately rejected Monday’s close at $295.66 and dropped about $0.50 in the first three minutes of the trading day.
I sent traders a follow-up alert telling them this move was not too shabby heading into a holiday stretch and that they could take fast profits if they wanted. However, I also mentioned that I doubted setups were done being presented for the day. And they certainly weren’t. Those who hung on for the full ride could have banked 86% by around 12:30 p.m.
Whether you book profits after a few minutes or hold on in hopes of bigger gains is a personal decision all traders must make for themselves. It depends on your trading style, risk tolerance, personal preferences, etc.
But with my system, even if you’re someone who prefers to consistently hit singles rather than holding out for the home run, you’re in luck.
Check out some of the returns people were able to lock in by closing trades just a few minutes after they had opened them:
There is no shortage of comments like these each day, especially since we’re now on our 50th trade in a row that had the potential to be a winner.
As another satisfied trader pointed out, that’s a pretty awesome batting average:
So, if you’d like a shot at earning a few hundred or possibly even a few thousand dollars before you head off to celebrate the Fourth of July, today’s Trade of the Day could be your ticket.
America’s #1 Premarket Trader.