Thank you for your thorough CSP write-up for AMZN. You helped us all understand your successful method. You mentioned "My watch list has stocks with current prices above their 20-day moving averages. Their 20-day DMA is above the 50-DMA. That is above the 100-DMA and that is above the 200-DMA." but I noticed that from June 6, the 50-MA was below the 20, 100 and 200 and still is. Did you mean that the stock is above all the four MAs but not necessarily in any particular order?
Generally, i think, the longer a stock's moving averages are in a "proper order", the better.
I'm using the watch list I created in Barchart.com to find stocks. You are correct in observing that AMZN's current performance has been short term. Its other technicals are less bullish.
So farm my puts strategy is working for me. That could quickly change. When it no longer works for me, I'll move on to other stocks that work better and more reliably.
I adopted this strategy early this year when markets and some high quality stocks became more volatile and it became uncomfortable to do monthly and longer trades on less volatile stocks.
Good to hear from you Donald! Nice write up on Amazon puts. I have been buying shares of AMZN with a cost basis of $192. Not doing any options on it yet. Been also trading GOOGL MRK and CVX. Have also been diversifying with PHYS PSLV and IBIT….about 10% of portfolio. Lots of action in the world right now. As always a pleasure to read your ideas! Take care.
Thank you for the idea, maybe too late for June, watching July...
Thank you for your thorough CSP write-up for AMZN. You helped us all understand your successful method. You mentioned "My watch list has stocks with current prices above their 20-day moving averages. Their 20-day DMA is above the 50-DMA. That is above the 100-DMA and that is above the 200-DMA." but I noticed that from June 6, the 50-MA was below the 20, 100 and 200 and still is. Did you mean that the stock is above all the four MAs but not necessarily in any particular order?
Generally, i think, the longer a stock's moving averages are in a "proper order", the better.
I'm using the watch list I created in Barchart.com to find stocks. You are correct in observing that AMZN's current performance has been short term. Its other technicals are less bullish.
So farm my puts strategy is working for me. That could quickly change. When it no longer works for me, I'll move on to other stocks that work better and more reliably.
I adopted this strategy early this year when markets and some high quality stocks became more volatile and it became uncomfortable to do monthly and longer trades on less volatile stocks.
Thanks for your question.
Good to hear from you Donald! Nice write up on Amazon puts. I have been buying shares of AMZN with a cost basis of $192. Not doing any options on it yet. Been also trading GOOGL MRK and CVX. Have also been diversifying with PHYS PSLV and IBIT….about 10% of portfolio. Lots of action in the world right now. As always a pleasure to read your ideas! Take care.
Thanks, Brew. The first six month of this volatile year have been my best for options trading because of the high volatility.