Facebook Twitter YouTube

Having trouble viewing this email? Click here

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

Wednesday | September 9, 2020

Hello Eizell.



YESTERDAY: September 8

SPX 3381.34. After 4 days above 3500, we fell hard for 4 days.

The morning saw a collapse in TSLA and AAPL on negative news and post-split liquidation. Negative articles came out about both companies. As predictable, the analysts who loved TSLA at 500 hate it at 320. Those analysts are good? Lol

The stock has fallen from a post split price of $538.75 to $330.21 yesterday. This was a 21% drop yesterday alone. AAPL fell from a post split high of 138.55 to close yesterday at $112.82.This was too much for the market to take as other negative news about the elections and economy trickled in. Make no mistake about it though, this was mostly two over bought stocks getting realigned.

I have been saying for weeks they were overdone. In last week's Wednesday night POT class, I even brought up the two charts of TSLA and AAPL and said “this is scary”.

The simple fact is during the rally off the bottom, people didn't know what names to buy, so everyone jumped in a few names like AAPL, TSLA, AMZN.

The day closed with the Dow down 632 points (-2.25%), SPX down 2.8%, or -95 points, and the NASDAQ -4.8%, or 553 points.


TODAY: September 9

TODAYHard to day. Depends on Tesla and AAPL liquidators.

After four days of heavy selling, we should see a bounce. It is hard to imagine the leaders falling almost 40% without most people who were going to run, running. It is hard to think that with TSLA down 21%, there was not capitulation. Yet, we will see. Bottoms are hard to pick unless way, way way overdone.


Sept 29 – Presidential debate #1
October 15 – Presidential debate #2
October 22 – Presidential debate #3

I am still standing by my prediction (made December 31, 2019) that we will be positive for the year and making new all-time highs by the end of the year. I maintained this stance even when the SPX was down -36% for the year (this has been here since January 1).

S&P 500 Price Limits

From 8:30 a.m. to 2:25 p.m. CST, there are successive price limits corresponding to 7%, 13%, and 20% declines below the previous trading day’s reference price.

From 2:25 p.m. until the 3:00 p.m. CST close of the cash equity market, only the 20% price limit will be applicable.

Average year with lots of intermittent volatility
(+3.13% so far)

POT Logo

Class tonight!

We are talking about index pairs. It was going to be using them for hedges, but after the market fell so much in the last week, we might switch gears to create upside potential with little or no risk. I will leave it up to you! This is your class.



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 to come.


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