Trading Videos posts page 81
Tuesday, April 19, 2022
The One Thing I Can Predict (Fairly Accurately) on an Earnings Announcement
Dan Passarelli, CEO - Market Taker Mentoring
Traders try guessing what direction a stock will go following the release of its quarterly earnings all the time. And to date, I've never met a trader who could consistently guess it right. But this is the one thing I can predict (fairly accurately) on an earnings announcement: The volatility crush.
The implied volatility crush is an extremely common situation. In this video, I explain what the volatility crush is, how it works and how to trade it on an earnings announcement.
Thursday, April 7, 2022
How to Trade Triangles on a Stock Chart
Dan Passarelli, CEO - Market Taker Mentoring
In this video you will learn how to trade triangles on a stock chart. A triangle, in this case a "symmetrical triangle," is a simple chart pattern consisting of both an upslope and a downslope that are converging. As they converge, the stock's volatility is constricting and building up pent-up energy, becoming poised for a breakout. Once the stock permeates one of the slopes, the trader expects continuation in that direction. Triangles are best traded as swing trades or short-term trades.
Tuesday, April 5, 2022
Does This Inverted Yield Curve Mean a Reession Is Coming?
Dan Passarelli, CEO - Market Taker Mentoring
The treasury yield curve inverted recently and came back to normal. Typically, when there is an inverted yield curve, it signals a recession that usually comes 12 to 24 months later. Does this inverted yield curve mean a recession is coming?
Dan Passarelli says, "no, it's different this time." The reason is the yield curve inversion is a result of COVID, the Fed's treasury purchases in the past, and the expected tapering and selling of treasury inventory. These fundamental forces do not fit the mold of the typical boom and bust cycles we often see.
Thursday, March 31, 2022
What Is Theta in Option Trading
Dan Passarelli, CEO - Market Taker Mentoring
I work with thousands of traders every year. One of the most common questions I get is, "What is theta in option trading?"
Theta is on of the option Greeks, which are metrics to understand various option price influences in order to value them. Specifically, theta measures how much an option price changes as each day passes.
In this video, I shares where to find option theta, how it works, why it's important and some key nuances to help you be able to use this powerful too.
Tuesday, March 29, 2022
The Stock Market Is Cautiously Optimistic
Dan Passarelli, CEO - Market Taker Mentoring
The general feel today is that the stock market is cautiously optimistic. The stock market was up 1.25% today, as measured by the S&P500. The main reason was some optimism that the war in Ukraine is looking a little more hopeful. That would be bearish for oil prices and that would be good for stocks.
But the war is still raging and some members of western governments are a bit skeptical of what Putin is saying and that there's a chance of the war ending any time soon. A bit of caution along with that optimism.
Thursday, March 24, 2022
Eerily Quiet Market Today
Dan Passarelli, CEO - Market Taker Mentoring
Today the market had a lack of conviction, which could be observed in the stock volume. The SPY had one of the lowest trading volumes of the past 6 months, yet the ETF was up 1.5%. Not all stocks followed suit. Overall, it was an eerily quiet market.