Barbara Armstrong presents three bullish trading strategies for smaller accounts, including long call verticals, short put verticals, and one ATR trades. She reviews recent trades on stocks like Nvidia, AMD, and Lamb Research, emphasizing trade management, patience, and risk control. The session includes market overviews, trade setups, and practical examples to help traders make informed decisions.
Barbara Armstrong welcomes traders to her session focused on trading smaller accounts, sharing insights into three distinct bullish trading strategies. Throughout the session, she emphasizes the importance of patience, trade management, and understanding market conditions. The strategies covered include long call verticals, short put verticals, and one ATR trades, with real examples from stocks such as Nvidia, AMD, Lamb Research, Dell, and others.
Barbara introduces herself and mentions her colleague Mike Fairborn, encouraging viewers to follow both of them on social media for additional insights. She also highlights her involvement in covering extra classes on various trading topics such as covered calls, swing trading, and long verticals, which complement the current session.
The session aims to cover three new trades using three different stocks and strategies:
Barbara plans to discuss why one might choose one strategy over another and includes trade management updates, reviewing trades that hit targets and those exited for losses.
Barbara provides a quick market overview:
Sector performance over the last three months shows energy at the top, followed by technology and real estate. However, in the last month, technology has surged to the top, with communications and consumer discretionary sectors also performing well.
Nvidia has been trading in a range for months, leading to several iron condor trades (a combination of short call and short put verticals). Recently, Barbara sold a short call vertical expecting the stock to stay below $195 but realized it was a mistake as Nvidia was still in an uptrend and the stock price crossed the strike.
She closed the losing trade, accepting a loss of approximately $170 plus transaction fees, viewing it as a learning opportunity to reinforce patience and proper trade entry.
Following this, Barbara placed a new long call vertical on Nvidia at strikes $200 and $205, which is currently up 25%. The goal is to exit when the trade reaches a 50% gain or a 50% loss.
Barbara reviews other trades:
She emphasizes that not every trade will be profitable, but following rules and managing risk is key to long-term success.
Barbara encourages traders to follow their trading plans, manage risk carefully, and be patient with trade entries. She highlights the value of learning from losing trades and sticking to exit rules to protect capital.
She invites viewers to subscribe for more content and reminds them to balance trading with personal well-being.
This session provides practical examples of bullish option trading strategies tailored for smaller accounts, emphasizing disciplined trade management and adapting strategies to current market conditions.
