Market Musings

It's where I share all my best stuff, educational articles, market insights, ideas and everything else that matters for happy trading.

The stock market is in a 'fully-fledged epic bubble' – Warns Jeremey Grantham

It's a full fledged epic bubble, writes one of my favorite investors Jeremy Grantham of GMO.

“The long, long bull market since 2009 has finally matured into a fully-fledged epic bubble. Featuring extreme overvaluation, explosive price increases, frenzied issuance, and hysterically speculative investor behavior, I believe this event will be recorded as one of the great bubbles of financial history, right along with the South Sea bubble, 1929, and 2000.” 

He further...

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Meet Wenya - OptionPundit's Newest Rising Star!

rising stars Jan 03, 2021

Meet Wenya - Our Newest Rising Star.

Wenya hails from Singapore. As a soft spoken and unassuming person, Wenya, has worked in the IT industry for the past 10 years and was totally new to the financial markets prior to coming in contact with OptionPundit. 

In 2020, after attending the Options Success Formula (OSF) program at OptionPundit, Wenya started to incorporate OSF mechanics into her trading style and has made 60% return on her portfolio over the past four and a...

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Why I Opened a Bullish Options Trade on Alibaba (BABA)

baba call option Dec 29, 2020

On 24 Dec 2020, I shared a trade idea on BABA on our telegram community channel (if you are not a member yet, join our community for FREE).

Soon after the post, I received a note from one of our readers to help him/her understand why I took that trade (btw, thank you my reader for your kind words):

 

I decided to answer this via detailed post as many other readers might have similar question.

Here are the trade details:

  • Underlying stock: BABA
  • Type of Option: Call...
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Why Next 7 Days Matter

Next 7 days are crucial for the stock markets, especially this year.

Historically Bullish 

Historically, Christmas eve to 2nd trading day of the new year time period is bullish for US stock markets. According to Stock Market Almanac, the average S&P 500 gains over this seven trading-day range since 1969 are a respectable 1.3%

However, when this Santa Claus rally doesn't materialize, following years are often flat or down. Once again using data from SMA, the last six time this rally...

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Fasten Your Seat Belts For The Final Countdown

US Presidential Election 2020 campaigns are in the final phase now. Get ready for the market volatility and use options for the opportunities at the same time.

Weekend is usually when I set aside certain hours to prepare for the upcoming week and review trading ideas. Also a time to review what worked and what didn't work. I strongly believe that Success is not a milestone, it is a journey and a constant evaluation, retrospect is necessary for a greater future.

So, how do you do this...

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Main Street's Option Market Wizards: John Chong

Almost every trader knows about Warren Buffett, George Soros, Ray Dalio, Bill Ackman, or other billionaires Wall Street stock wizards.

But what about the real traders from Main Street?

Are there any success stories worth emulating?

Find out more as I answer this question by conversing with top real traders that I had the good fortune of either mentoring or working with.

This special series is called "Options Market Wizards" where I will introduce you to some good traders who...

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Main Street's Option Market Wizards: Judy Tan

Almost every traders knows who is Warren Buffett, George Soros, Ray Dalio, Bill Ackman or other billionaire Wall Street stock wizards ?

But what about the real traders from the Main Street?

Are there any success stories worth emulating?

Find out more as I answer this question by conversing with top real traders that I had good fortune of either mentoring or working with.

(Subscribe to my YouTube channel to get notified when I publish the next video)

This special series is called "Option...

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Who added more value to Apple? Steve Jobs or Tim Cook?

Apple is now the largest listed company by market cap on the planet earth, boasting a value of more than $2.163 trillion, according to FactSet data.

Apple, An Incredible Journey to 2 Trillions

Apple (AAPL) became the first company in the US to close at $2 trillions market cap on Wednesday when AAPL stock price hit ~$468/share. It was another milestone for the maker of iPhones, Mac computers and Apple Watches, cementing its title as the world’s most valuable public company and...

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Welcome to New OptionPundit Community Portal

community Aug 19, 2020
 

As part of providing the best experience to you, My team and I are continuously looking for better solutions to enhance your learning.

In the past, to access old forum, you needed to login differently and needed to remember multiple user-id and passwords. 

Now everything is in one place, we call it OP community. 

You can simply login from the top menu of this website or click to login here

Should you have any questions or comments, please write those in the comments section...

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How to Trade Corporate Earnings with Options

 

Corporate earnings "season" – when a lot of companies issue earnings reports – is a time when stock volatility is very high and investors can profit from targeted, short-term options positions. 

Why Are Earnings Announcements So Important to Traders and Investors?

All publicly traded US corporations release mandatory earnings reports every quarter. These four-times-a-year corporate earning news releases allows investors to judge how well a company's business is going. Are...

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