Nov 2021: COIN $325- $330 Bull Call Spread
THIS IS A DELAYED TRADE FOR EDUCATIONAL PURPOSES ONLY.
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the 11th 25k Challenge was successfully completed on 12/18.
I am documenting the last few remaining trades retroactively to wrap up the documentation. Although, Nov month had a ton of losers, one of the core principles of this trading style is to stretch allocation during sell-offs and shrink allocations during peaking markets. I took several trades during the sell-off which ended up cancelling out most losers during this correction. The account is still growing and is around $29,000 in Net Liq right now.
Exposure to Bitcoin via COIN /MSTR
Although we don’t trade cryptocurrency in our group, but COIN and MSTR have been recent additions to our repertoire of stocks. Both of these provide direct exposure to Bitcoin’s movement. This unfortunate trade got absolutely decimated by the recent debacle in Bitcoin though.
Trade Selection Criteria
Overall market movement
This is a post earnings trade, the individual stock’s price movement is more important than the overall market.
No Earnings or Significant News
This is a post earnings trade and earnings were announced a day ago
Bollinger Bands outside Keltner Channels
Bollinger bands are clearly outside Keltner Channels
RSI is sharply curving upwards showing upward momentum is building up.
DI- was turning down indicating loss of downward momentum
Beginning Account Balance
Ending Account Balance