Hey traders,
Quick read on the market today.
I pulled up SPY, DIA, and QQQ on my trend points. Price is sitting above the short-term, intermediate, and long-term levels on all three. That’s my definition of bullish.
No guesswork, just price action doing what it’s supposed to do.
Condition + Strength
We’ve talked about condition (bullish/bearish/sideways). The next piece is strength — are there more stocks breaking new highs than new lows?
Today the list of new highs is long, and the new lows list is short — roughly 10-to-1 by my screen. That tells me buyers are in control, not just on the indexes, but under the hood too.
Market-Driven Strategy
In a bullish market, I don’t waste time trying to pick bottoms in downtrend stocks. I run bullish income plays on names already trending up. Simple as that.
That’s where my Triple Crown comes in:
- Covered calls – collect “rent” on stock you own
- Cash-secured puts – get paid to potentially buy at a discount
- Credit spreads – defined risk, steady income
If the trend’s up, these three types of trades shine.
Make Sure You’re Approved
Before you try to run this, check your broker’s options approval:
- Covered calls: the most basic approval (some firms call it Level 0/1)
- Cash-secured puts: entry-level put selling (you can graduate to using margin later)
- Credit spreads: defined-risk spreads so you know the max loss going in
If you don’t see the toggle in your settings, call your broker and ask exactly what to enable.
A few minutes on the phone beats missing a clean setup.
Looking Ahead
We’re heading into the last quarter of the year — October/November/December — historically active months with plenty of premium to harvest.
With the indexes up and strength behind the move, I’m sticking to my playbook: find strong trends, run the Triple Crown, and let time decay and probability do the heavy lifting.
Trade well,
Jack Carter
P.S. Here’s why you should be following Wall Street’s Flood Orders…
