Jack Carter Trading

Hey Traders,

On Friday, I told you a story.

About how trying to trade against the trend is like swimming against the tide…

Sure, you might make it once in a while.
But most of the time?
You’ll waste all your energy and go nowhere fast.

So when the market started showing real signs of weakness a few weeks ago…
I didn’t hesitate. I flipped bearish.

No Predictions — Just Following the Trend

Three weeks ago, it was clear:

The indexes had rolled over.
SPY and QQQ were sitting below their major trendlines.
We were getting rejected at key resistance levels.

A lot of traders tried to buy the dip.
Not me.

Instead, I did what I always do when the tide turns…

I adapted.

I followed the trend.

And I started stacking cash flow from bearish trades.

Here’s the Proof: 8 Bearish Stocks I Shared for Free

Over the past few weeks, I’ve shared 8 bearish trending tickers with folks who signed up to receive text messages from me.

Not as predictions.
But as real-world examples of how to trade with the market.

Here’s the list of tickers:

ACLS
IDYA
PI
DECK
ETSY
GLOB
HOLX
SRPT

And take a look at what happened…

🧭 None of them closed above their 20-day trendline.
📉 Most of them just kept drifting lower.
📉 Some of them dropped like a rock.

That’s the beauty of a market-driven approach: you just do what the market tells you.

No need to guess.
No need to get fancy.
You just needed to trade in the same direction as the broad market.

Let’s Look at Two Simple Trades You Could’ve Made

DECK – enter March 10th

With DECK trading around 126, you could do this trade:

Sell 139 Call / Buy 140 Call – Expiring March 14th (3 days)
Net Credit: $0.07
A 7¢ net credit on a $1 wide spread (139 to 140) is 7% return in just 3 days!

DECK would have had to move 10% up. But all its momentum was bearish… and DECK just kept dropping from the moment we entered this example trade.

Come Friday, the option you sold would have expired worthless and you would have kept the full premium.

ETSY – enter March 10th

With ETSY trading around $48, you could do this trade:

Sell 52 Call / Buy 53 Call – Expiring March 14th (3 days)
Net Credit: $0.07
Same as with DECK, 7¢ on a $1 wide spread gives us 7% in just 3 days.

And DECK would have had to move over 10% to the upside… But it never had a chance. All the momentum was bearish. The stock briefly popped to $50, but quickly fell the rest of the week, giving this example trade another easy win.

These are bread-and-butter trades when you’re trading with the trend.
Set it up, collect premium, let time do the work.

The Big Lesson: Down Markets Don’t Have to Mean Down Profits

There’s a huge myth that most traders believe: You can only make money when stocks are going up.

But that’s just not true.

When you follow the trend — bullish or bearish — you can target consistent income either way.

In fact, this entire bearish stretch we’ve been in lately?

I haven’t missed a beat.

My weekly income strategy just kept working.

My bearish setups just kept delivering.

And the premiums I’ve been collecting? Juicier than ever.

The Last Word

A few weeks ago, I flipped the switch and started trading in the same direction the market was moving.

And it’s been paying off ever since.

If you’re still trying to pick bottoms… or waiting for “things to turn around”… ask yourself:

Why fight the tide when you could ride it?

Because right now, this market is handing income traders incredible opportunities — if you’re willing to follow the trend.

I’ll show you exactly how I’m doing it, week after week…

👉 Watch my latest strategy briefing here.
Trade well,
Jack Carter

This Week’s Stocks

All three indexes gapped up strongly over the weekend. Does that mean we’re out of the woods? Not by a long shot… but it does tell us something about what the market’s thinking…

So this week I’ve got 1 bullish and 2 bearish tickers for you:

VRSN (bullish)

AVY (bearish)

LEN (bearish)

And don’t forget about last week’s list, which you can find here.

What can you do with these stocks?

Well, there are a couple of things you could consider — after doing your own research, of course:

Buy or short — For bullish stocks, this is probably the simplest thing you could do. Then just wait for it to go up and sell when you hit a profit target you’re comfortable with. This is only for upward-trending stocks we’re long on.

For downward-trending stocks (those that we’re bearish on), you can short them. This is a little more advanced, so if you’re just getting started, I wouldn’t recommend this play. Remember, just like buying a stock, shorting comes with unlimited risk if the stock moves against you, so always have a clear stop-loss in place.

You could buy an option.

For bullish stocks, this means buying a call option.
For bearish stocks, this means buying a put option.

You know I’m not a fan of speculative plays, but every once in a while it doesn’t hurt to throw a little cash at a speculative option. Just remember, while options can move bigtime if the stock goes up… the downside of options is that you have a time limit on how quickly you need the stock to make that move.

So think about your risk tolerance when you consider buying calls on bullish stocks or buying puts on bearish stocks.

You could collect instant income.

If you’ve been following me for any length of time, you know that I’m a big fan of income plays, because they massively increase your odds of winning. We do this by SELLING options instead of buying them.

Not only do income plays let you get paid instantly — as soon as you place the trade. You massively increase your odds of winning, because the way we trade them, you don’t have to be 100% right about the direction of the stock.

If you haven’t tried your hand at income trading yet, I urge you to try this exercise for yourself. Without risking any money, it will really let you see the power of income trading and why it’s my favorite method.

Income plays on bullish stocks can be naked puts, covered calls or a bull put spread.

Income plays on bearish stocks will be a little more complicated. But if you’re a more advanced trader, you can look into doing a short term bear call spread, which involves selling an out-of-the-money call and buying a call one strike price higher.

That’s all for now.

Stay tuned, because I’ll be sending you a new list of TrendPoint Best Trending Stocks every week! (usually Mondays)

Trade well,

Jack Carter

8 Bearish Stocks That Prove One Thing: The Trend Is Your Best Friend