Technical Analysis.

Our short-term index options trader traded S&P 500 index options for this best trade of the week, but one could have traded NASDAQ 100 index shares or options using the same method. These trades were based strong volume signals and our Market Commentary.

NOTE: This chart of the week is meant mainly for educational purposes. We don't recommend that our customers follow these exact trades. We suggest that you develop your own trading style and try doing some paper trading before using our volume analytics.

Even though all the above trades were not entirely without risk, we came out on top with a profit of $1,300

Why did you leave one put option open despite the large supportive volume seen at the end of the week?
We believe that the market has not yet finished reacting to the large amount of resistive volume seen during the course of the week. Historically, when the market has a short-term correction, it continues to move lower despite an initial supportive VMA spike. It usually takes two or sometimes three supportive VMA spikes before a short-term correction is at an end.

How can this chart be used by me?
Our main reason for publishing these charts is to allow our members to learn by another trader's example how they can make trades based on our volume signals and Market Commentary. Members can gain a better understanding of how to enter and exit the market, based on when a signal is generated. To learn from these charts, you don't need to trade the specific security mentioned in this publication, but whatever security you feel comfortable with. The principles for trading SPX options will not change when trading something like S&P 500 index futures, futures or SPDRs shares.

Should I Trade Options?
Only very experienced traders should trade options because of the high risk involved. You can always trade index shares instead of options and still make a decent profit, but returns will not be as large.

Should I try to paper trade before trading options?
Yes! We suggest that anyone who is new to our signals and analysis try doing some paper trading to start, at least until they are comfortable with interpreting our signals.

Should I try to paper trade before trading options?
Yes! We suggest that anyone who is new to our signals and analysis try doing some paper trading to start, at least until they are comfortable with interpreting our signals. Only very experienced traders should trade options because of the high risk involved. You can always trade index shares instead of options and still make a decent profit, but returns will not be as large.

Can I trade Rydex or ProFund index funds using your Market Commentary and signals?
Yes, our system is meant for index traders, and there are many Mutual Fund options to choose from when trading indexes. So yes, our indicators are good for trading Mutual Funds, especially dynamic Rydex funds.

We would like to  the motivations that led to the above trades as clear as possible; therefore, we have created what we call a 'Table of Motivation', in which we try to make the purpose behind each of the above trades as clear as possible.

The same principles mentioned above works for trading NASDAQ 100, S&P 100, Dow Jones, as well as other indexes.

Here is a detailed list of our investor's trades, which netted the above returns:

To see any of our past best trades, simply select from the list below.

To see any of our past best trades, simply select from the list below.