Facebook Twitter YouTube

Having trouble viewing this email? Click here

Prepared by and Scott
Writing under the nom de plume of J.L. LORD

Friday | January 31, 2020

Hello Mayumi.



YESTERDAY: January 30



The market opened lower by almost 1% because of the Coronavirus. Like the Chinese trade war, the Chinese disease is vacillating between not being “that bad” and the end of civilization a couple times every day.

At the lows, the SPX was down -30.60 but it did try to get back to the unchanged line a couple of times, though it failed. At about 1:45pm (Chicago time), news came out from the World Health Organization (WHO) that it is labeling the disease as a “global pandemic”.

One would think that scary words from the WHO would be a negative thing? Personally, I have about 50 people who look at me funny as a result of rumors from less credible sources than the World Health Organization.

I always incorrectly assumed that Laurence Peter was right when he said “Make three correct guesses consecutively and you will establish a reputation as an expert”. One would assume that when the WHO says “Global pandemic,” it would have the same effect as yelling “FIRE” in a crowded theater. Instead of falling, the market ran higher.

From a net change of -15, the SPX ran to the unchanged line, where it sat until the last 30 minutes of trading. On the close, the SPX ran yet another +10 points higher.

AMD had been as low at 46.13, but closed at 48.78 (+1.27)

AAPL had been as low as 318.75 but close at 323.87 (-0.47)

VIX had been as high as 18.39, closed at 14.60 (-0.25)


TODAY: January 31

Yesterday's last minute run higher despite bad news on the Coronavirus indicates that this market wants to move higher – barring a real big shock and new information about the virus.

What will also help the markets is if the impeachment joke is thrown out. I am guessing the whole thing is over with by tomorrow. Many people running for the White House have made appearance plans over the weekend, which they would not do if expecting to be working over the weekend. The hearings are going so poorly for the democrats that Adam Schiff tried to change the “iron clad” charges he had on President Trump to different “crimes”.

Remember, Trump is being impeached on two charges: (1) Abuse of Power, (2) Obstruction of Congress. Despite saying his case against Trump is perfect, Schiff is ignoring these two charges and now wants to charge Trump on bribery.

I suspect the impeachment managers know this is a lost cause, especially with zero Nielsen ratings for them to get viewers. They will all sneak out of town and try to figure out how to spin this mess into a positive. The markets will like that this minuscule uncertainty is over.

Average year with lots of intermittent volatility
(+1.64% so far)

POT Logo

Separate update coming.



Up and Running for POT students (so far).

Really quickly...

To help in your quest for the best possible options trading outcomes, we would like to know what level of options trading knowledge and skills you currently have. Please click the button below to indicate what level of trader you are? Please skip if you already responded. Thank you for participating.

P.O.T. Schedule



Trading is a tough job on a stomach void of coffee and humor.
You provide the coffee and we will take care of the rest.



For education purposes ONLY. Please read the disclaimer below. We do not care if you agree or disagree with it—that is the rule. ​​​Stratagem Trading (Stratagem: “,” “Stratagem”), and any of its possible affiliates, respective independent contractors, employees, officers, or agents are not acting as licensed financial advisers, registered broker-dealers,tax advisers, etc. (although some individuals may or may not hold a license). Furthermore, they do not provide financial advice, make recommendations, or conduct business by transacting trades. Stratagem Trading adamantly states that nothing in this communication constitutes a solicitation, promotion, endorsement, offer or recommendation to buy or sell any investment, mutual fund, debt instrument, commodity, derivative product or security as described herein.

Stratagem does NOT offer auto-trades. Case studies being provided are historical examples illustrating how a particular commodity, equity, index and/or option strategy could have been implemented. Stratagem Trading is not providing students with real time trading opportunities, nor giving advice. We strongly recommend that you consult with a licensed financial professional for all your financial matters.

COPYRIGHT (c) Material 2019 | Stratagem Trading |


If you wish to no longer receive our newsletter, you can unsubscribe here.

Stratagem Trading 1000 W. 15th Street #243 Chicago, Illinois 60608 United States