I’m on a roll right now!
In my blog from March 31, I alerted a trade on Exxon Mobil Corporation (NYSE: XOM).
The war in Iran pushed oil prices to levels we haven’t seen since Russia invaded Ukraine in 2022. And as a result, key oil stocks surged.
XOM was one of those stocks.
But in the famous words of Sir Isaac Newton: What goes up must come down.
And already this week the pullback has begun:
I told everyone to look for this pullback. And to buy Puts if possible.
Trump is desperately trying to de-escalate the war.
Higher gas prices don’t reflect well on his Presidency. And his public efforts to dial down tensions caused this recent pullback in oil stocks.
The market isn’t an unsolvable mystery puzzle…
The strongest moves happen for a reason. All you have to do is pay attention and follow my instructions.
Eventually, this will start to make sense.
The Next Market Setup
If the war actually de-escalates, the market could soar higher.
Think about it…
Tech stocks were consolidating near all-time highs before the war broke out. And the pullback from the war could act as the selloff Wall Street needed to settle its fears about an AI bubble.
I already shared two tech stocks that show signs of bullish momentum right now:
- Apple Inc. (NASDAQ: AAPL)
- Hewlett Packard Enterprise Company (NYSE: HPE)
And I’m adding a third to the list.
I just traded the spike on Intel Corporation (NASDAQ: INTC) as the stock reached toward the 52-week highs:
Make sure you’re prepared for a possible pullback on INTC after this spike.
Like we saw on HPE…
INTC could touch the breakout level just to fall back toward support.
We don’t trust these stocks to break out…
Instead, we prepare for breakouts on the best setups and leave room to get out if the trade reverses.
Plus, with the proper positioning, we can still make money on a failed breakout.
There’s enough wiggle room to take gains in both cases.
My Strategy
These are the biggest issues that most traders face:
- The best stocks are too expensive.
- And the most expensive stocks barely move.
I can solve these issues, and AAPL is a perfect example.
It’s on my watchlist right now, but it’s trading over $200 per share, and it barely moves 3% intraday.
With a small account, and at that rate of change, you’re going nowhere fast.
That’s where options come in handy…
Options contracts allow us to buy a certificate for 100 shares of AAPL at a fraction of the price. And since we now have control over 100 AAPL shares with a certificate that expires, the percent change in value is exponentially more than AAPL’s actual move.
Depending on the expiration of my AAPL contract, a 3% gain in the stock could translate to 20%, 50%, even a 100% gain.
You don’t need to start with a big account, and you don’t need to focus on volatile stocks.
I’ve personally turned a $5,000 account into $493,000 in just 60 days!*
Stay Street Smart,
Jeff Zananiri
*Past performance does not indicate future results, Not typical.
