4/2/2016. Focusing on HUGE Equity Moves Utilizing A REVERSE Funnel Strategy and Pattern

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Focusing on HUGE Equity Moves Utilizing A REVERSE Funnel Strategy and Pattern By Wendy Kirkland Full Time Trader 11 years Administers -6 Advisories Author: Option Trading in Your Spare Time- Basics

1 Focusing on HUGE Equity Moves Utilizing A REVERSE Funnel Strategy and Pattern By Wendy Kirkland Full Time Trader 11 years Administers -6 Advisories Author: Option Trading in Your Spare Time- Basics Stress-Free Wealth Building Basics P3 System Long Strategy Wealth Building with Weekly Options- Short Time Frame Strategy Quintessential QQQs- MERIT Advisory Price Surge System- Swing Trade Strategy both long and short options Prime Entry Profits (PEP) Day-trading both long and short options & chatroom We all come to the stock market and option trading by different paths: Family Involvement Education Profession Financial Needs 1

My Personal Goal= Financial Independence. That desire grew to sharing and helping others to achieve the same Wealth Building objective of Financial Security.

2 My Personal Goal= Financial Independence. That desire grew to sharing and helping others to achieve the same Wealth Building objective of Financial Security. Books : How to Strategy Books- long and short trades Weekly Newsletters : Trade Candidates and Additional Education and Commentary Coaching Advisory Service (Self or Auto-trading) So How Do You Find Trades That More Than Double in an Average of 3-4 days. Elements of Trading Success The Leverage of Options Buying Weekly or Front-month Option Expirations Trade Equities Primed for Explosive Moves by Focusing on My Special Patterns Let s take this Step by Step Normal Trade Funnel 2

3 Options Hold the Key to Financial Independence The Leverage in Option Trading CELG = Celegene Corp. On September 29th, the stock price is $ and by October 5th, it rises to $117.90; $11.52 gain per share or an 11 % gain. On Sept 29 th, the October monthly expiration 106 strike call option premium cost is $4.15 per share or $415 per contract. On October 5th, the bid premium when you want to sell is $11.30 per share or $1,130. $7.15 per share. This is a 172% gain in 4 trading days 11% Gain vs 172% GAIN Total investment $10,638 for 100 shares of stock earned a profit of $1,152. OR a total investment of $415 for one option contract on 100 shares of stock earned $715. For the same $10,638 investment, you could have bought 28 option contracts and earned $20,020 profit during those same 4 days. CELG s Stock Chart As we proceed, I m going to show you how to know when a move like this is going to happen. Weekly options was the second Success element. So Why Weekly Options? I have been on a campaign to share the benefits of weekly options. If you have heard me speak of them before, I apologize and I ll move quickly, but I feel a solid understanding is important. Weeklys are celebrating their 4th birthday but are still new enough that many traders just don t get the advantages. This is the area I d like to focus on for a minute and then we will look at a few examples of my Special patterns. As traders, we have been taught not only the value of time, but also to make sure we purchased extra time so our trades have plenty of time to unfold and play out. This is not the thinking behind trading weeklys. With weeklys, the aspect of time works in the reverse. We are NOT looking for extra time to allow our trade to play out, but providing we have the trade direction right, we are seeking protection against the market s fickle change in direction. We are using the short expiration time to our advantage. Let s look at some of the advantages of weeklys options. 3

4 Advantages of Weeklys Cost effective- a fraction of the cost of monthly options Exceptional flexibility Useful trade vehicle for numerous strategies calls, puts, spreads, covered trades, etc. Long term trades are subject to market changes. With short term trades, you trade what the market hands out. Since weeklys are new every week, a trader can pick and choose to enter a trade at the moment that the action is happening. Advantages continued No need to tie up capital waiting for an equity that is going through a pullback or consolidation period. Enjoy 52 expiration periods a year Weeklys are available on indexes, stocks and ETFs Exchanges offer new weeklys on companies that will attract attention each week. Thus, the equities usually have high volume. One week a month all optionable equities become weeklys. Even more advantages Weeklys are a short term chartist s dream Where will this equity be in a week or less? The shorter time frame allows for more accuracy. Weeklys can be used in conjunction with news announcements, earnings reports, FOMC minutes, etc. Weeklys remain more reasonably priced even during periods of higher volatility Once news is released, weeklys suffer less of a volatility crush than monthly options 4

5 Still more advantages Greeks: Weeklys inherently offer a greater delta. Weeklys don t suffer from high theta. Time value is less of an issue Cheaper prices mean you can purchase more contracts for the same total investment. Additional Greek Benefit- Gamma is explosive with so little time value. Quick price moves, before the market can change directions, compounds the benefits and leverage of option trading Exchanges have recently received permission to offer weeklys for 5 consecutive weeks out in time, but buying too far out reduces the benefits Wealth Building Strategy Utilizing Weekly options, my Special Patterns and applying various Strategies all support that goal. I m going to reveal to you the steps I use to doubled my money often in 4 days or less Sure there are always a few losers but when you win MOST of the time, have stops in place, the winners out pace the losers. I hear from traders every day who are experiencing great success using these wealth building steps. The success they are experiencing is life changing. My strategies are for the every day retail trader Investing approximately $600 total per trade. Not Just Option Leverage, But Weekly Option Leverage Applying the strategy requirements, I ve found 2.5-4% equity price move often equates to a double in a weekly option premium. So a key is to find stock that have consistent Large Moves. The PSS System shows you how to do this. Example: Home Depot (HD) Purchase calls mid-trading day on September 30 th for 1.55 a share or $155 per contract for the Oct 15 monthly (which two weeks out in time) 115 strike Call. Let s say you bought 4 contracts for total investment $620. You sell at end of day on October 13 th (3 days before expiration), the call contracts were worth $6.15 or $6,150 total for a gain of $5,530 or 892% HD s price when you enter the trade was approx. $112.50, when you sold it was $121.50, so a $9 change in price. That is a hefty 8% increase in the stock s price over 10 trading days, yet the option increased 892%. For those 10 days, you control $45,000 (400 shares x $112.50) worth of HD s stock for the total investment of $620. 5

6 HD s Chart on September 30th What is going to tell you that it is ready to explode? Let s add some indicators. HD s Chart Creating the Squeeze 6

7 HD s Explosive Move Full Squeeze Pattern Move Another Example of Squeeze 7

8 Let s look at one more And Maybe Just One More Trade Plan Spot the Squeeze Pattern and enter on the confirmations 8

New Squeeze Pattern Visa s Chart Showing Explosive Move V s Trade Results Remember a 2.5-4% equity price move often equates to a double in a weekly option premium. Visa, Inc.

You sell on October 9 th on expiration day, the Call contracts were worth $4.70 or $2,350 total for a gain of $1,735 or 282% V s price when you entered the trade was approx. $68.

9 New Squeeze Pattern Visa s Chart Showing Explosive Move V s Trade Results Remember a 2.5-4% equity price move often equates to a double in a weekly option premium. Visa, Inc. Purchase calls mid-morning (after open) for 1.23 cents a share or $123 per contract for the Oct week 2 69 strike Call. Let s say you bought 5 contracts for total investment $615. You sell on October 9 th on expiration day, the Call contracts were worth $4.70 or $2,350 total for a gain of $1,735 or 282% V s price when you entered the trade was approx. $68.50, when you sold it was $74, so a $5.50 change in price. That is a 8% increase in the stock s price over 10 trading days, while the option increased 282% over the same period of time. 9

10 The Pattern appears on Every Type of Equity And In Every Time Frame 5 minute Chart 10

When you See a chart like this, it is time to

All squeezes are not the same, you need the

11 When you See a chart like this, it is time to Trade the Plan. add confirmation signals and you have a Huge winner. All squeezes are not the same, you need the confirmation signals Before entry Again, I stress, Wait for the confirmations. The signals are as clear as a red light or green light 11

12 PSS- Utilizing a Reverse Funnel by Applying Both P3 and P3 ½ Patterns Now that You ve Experienced the Squeeze Pattern and the Benefits of Weekly Options, let s Reverse the Funnel and Send Profits Exploding out the Wide End rather than the Narrow End of the Funnel Reverse Funnel Weekly & Front Month Expirations Stocks with Large Moves P3 & P3 ½ Patterns 12

stages that EVERY P3 (Long) Squeeze must go through to complete, including second entry, stop, time to relax, and exit

13 You ve been introduced to the P3 Squeeze, let s check out the P3 ½ Pattern Another P3 ½ Short Pattern Price Surge System 145+ Page Book DVD detailing Long and Short Patterns Highlights alert and confirmation signals as well as the stages that EVERY P3 (Long) Squeeze must go through to complete, including second entry, stop, time to relax, and exit Detail alerts and confirmation signals and stages for entry in P3 ½ (Short) Picture Clear Patternthe opposite of the squeeze 13

Slipping Through the Narrow end of the Funnel to Burst out the Wide End by Applying Both Patterns What makes the Price Surge System program even better Imagine having the chart set-up with confirming

14 Slipping Through the Narrow end of the Funnel to Burst out the Wide End by Applying Both Patterns What makes the Price Surge System program even better Imagine having the chart set-up with confirming indicators, as well as all the Pattern and Strategy details, including all 7 stages that EVERY P3 or P3 ½ has to go through, showing entry alerts and confirmations, stops, second entries, when to relax and exits. How about having access to a Weekly Newsletter that lists stock candidates that are just starting to create the P3 and P3 ½ patterns, so that you are aware, can watch them give the alerts, and then enter on the confirmations. The result is that there is always a trade brewing up or down, it doesn t matter, not when you recognize both long and short patterns and are ready to react. Contact Information: For more information about Programs, Books & Newsletters: contact 1/888/ Or Support@ISS-Trading.com General Website: WendyKirkland.net 14

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3/12/2016 PROPRIETARY INDICATORS PINPOINT MARKET TRADES WENDY KIRKLAND ELEMENTS OF SUCCESSFUL TRADING: STOCKS, OPTIONS, FUTURES, FOREX

3/12/2016 PROPRIETARY INDICATORS PINPOINT MARKET TRADES WENDY KIRKLAND ELEMENTS OF SUCCESSFUL TRADING: STOCKS, OPTIONS, FUTURES, FOREX PROPRIETARY INDICATORS PINPOINT MARKET TRADES By Wendy Kirkland WENDY KIRKLAND Full Time Trader 11 years Administers -7 Advisories Author: Option Trading in Your Spare Time- Basics Stress-Free Wealth Building