This is the video recording of our September 2, 2020 Monthly Charts Live Strategy Session

This is the video recording of the September 2020 Conference Call for Members of All Star Options

There are a lot of distractions in the market, particularly when it comes to news events that drive a stock quickly in one direction or another.

In this post, we want to look at the example of Reliance and Future Retail Ltd. to reiterate why it's best to focus on process rather than outcome when it comes to markets.

One of the names that stood out for me in the latest Under the Hood report, was unsuspecting. These days I expect the names that are popping up there to be the sexy tech high flyers and/or cheaper low cap speculative names. But a certain name with a pretty popular cheerleader caught my attention.

If I was a long holder of big positions in $AAPL, $AMZN, $TSLA, $FB, $GOOG — any of the teracaps…. I’d be selling way OTM covered calls like a wild man here.#SKEW

— Sean McLaughlin, NLD 📈 (@chicagosean) September 1, 2020

Covered Calls is not a strategy we employ often at All Star Options, as there are better more efficient ways to use our capital to express similar bets.

But for any of you reading this who may be holding legacy long...

Welcome to Episode 2 of the JC & Josh Brown show that he likes to call, "Big Trends Monthly". This is where we discuss a handful of the most important monthly charts that stood out during my review.

I'm always preaching how this is probably the most valuable part of my entire process: Monthly Charts! It's only something I have to do 12 times a year and might take me 30-45 minutes each month. This forces us to take a step back and gives us no choice but to identify the directions of the primary trends.

Josh Brown is one of the most widely followed financial advisors in the country, and he appreciates these monthly candles as much as anyone. So we're now doing a monthly show about it. You can catch up on last month's episode here.

Check out latest show where we discuss what happened in August and what it means to us moving forward:

From the desk of Louis Sykes @haumicharts

Welcome to this week’s edition of Louis’ Look, where I write a brief note for the blog to identify the key lessons I’m learning every week. You can catch up on the previous post here. Today, I want to share what I’ve been thinking about psychology and its relation to technical analysis.

Let’s jump right into it.

From the desk of Steve Strazza @Sstrazza

New Mystery Chart!

For those new to the exercise, we take a chart of interest and remove the x/y-axes and any other labels that would help identify it. The chart can be any security in any asset class on any timeframe on an absolute or relative basis. Maybe it’s a custom index or inverted, who knows!

We do all this to put aside the biases we have associated with this specific security/the market and come to a conclusion based solely on price.

You can guess what it is if you must, but the real value comes from sharing what you would do right now. Buy, Sell, or Do Nothing?

This week on the show, Howard and I talk about a really cool new scan that we've been working on here internally. You see, we do a ton of top/down analysis at Allstarcharts. So we've developed a series of bottoms/up filters to help supplement all that top/down work that we already do. This way, it makes it really hard for us to miss anything.

We recorded this video a couple of weeks ago and have already made a lot of progress on this concept of "2 to 100". We're looking for stocks graduating from Small-cap and entering Mid-cap status ($2B+ Market Cap). We'll be putting out more information on this particular universe of stock ideas soon, but for now check out how a friendly conversation can turn into a new valuable tool in a matter of weeks!

Monday's downside action in India's stock market was a notable change from the slow grind higher we've experienced throughout August.

The news is this move was at least partially caused by some geopolitical risk and the SEBI margin requirement changes taking effect on September 1st.

Regardless of the reason for this selloff, we're going to take a look at prices and see how it's changed our short-term and long-term outlooks.

Before we get into yesterday's action, I want to address the title of this post. We are, in fact, in a Bull Market. One of the ways we measure that is by looking at the percentage of Nifty 500 stocks are above their 200-day moving average, which is around 70% after falling to nearly zero in March.

Click on chart to enlarge view. 

Additionally, the majority of Equity markets around the globe are still trending higher from an intermediate and long-term perspective, so...

From the desk of Steve Strazza @Sstrazza

At the beginning of each week, we publish performance tables for a variety of different asset classes and categories along with commentary on each.

Looking at the past helps put the future into context. In this post, we review the relative strength trends at play and preview some of the things we're watching in order to profit in the current market environment.

Last week, we highlighted a number of critical Stock Market Indexes and Sectors, as well as assets in the FICC Markets that were approaching logical levels of overhead supply.

This week, we're going to follow up on this theme and see how some of these charts have reacted to the critical levels we pointed out last week.

As September gets under way, it’s time to review positions with September options that remain open (haven’t already hit profit targets or been stopped out).

Most trades I put on for All Star Options tend to have a minimum duration of 30 days (short premium plays) and often as long as 6-8 months (for long premium plays). As options approach expiration, greeks like theta and gamma start to become my enemy and whipsaw my P/L. Therefore, as options and spreads get into the expiration month, my best practice is to put each position on notice — it’s time to take action.

This month, we only have one position with September options remaining on the books. All the rest have already hit their profit targets or stop loss levels. In the scoreboard below I denote the date we exited each position.

Here’s the scoreboard:

This week we're looking at the Financials' sector, which is finally starting to pick up. As such, we've identified a new long setup with an attractive reward/risk.

We retired our "Five Bull Market Barometers" in mid-July to make room for a new weekly post that's focused on the three most important charts for the week ahead.

This is that post, so let's jump into this week's edition.

From the desk of Tom Bruni @BruniCharting

Another post on Banks? Yeah, we get it Bruni, they're underperforming and can't get their act together.

Well, hold on a second. What if I told you this isn't another post about that?

That instead we're looking at a chart which suggests that a breakout in US and European Banks may be ahead?

Now that I've got your attention, let's jump into it.

These are the registration details for our Live Monthly Candlestick Strategy Session for Premium Members of All Star Charts.

This month’s Video Conference Call will be held on Wednesday September 2nd @ 6PM ET. As always, if you cannot make the call live, the video and slides will be archived and published here along with every other live call since 2015.

Here are the details for Wednesday:

Earlier this year we looked at the Nifty IT Sector and analyzed what it would take for it to finally break out to new all-time highs. Prices finally did and have since presented a lot of great opportunities on the long side for us.

In this post, we want to outline why there are similar conditions present in the Nifty FMCG Sector Index and how we're approaching it.

From the desk of Steve Strazza @Sstrazza.

Welcome to this week's edition of "Under The Hood."

What we do is analyze the most popular stocks over the trailing week and find opportunities to either join in and ride these momentum names higher, or fade the crowd and bet against them.

We are using a variety of new sources to generate the list of most popular names, which we'll explain more each week as we add new data sets. There are so many new data sources available that all we need to do is organize and curate them in a way that shows us exactly what we want: A list of stocks that are seeing an unusual increase in investor interest.

Last week, we added some stocks from a list of large institutional purchases we track, and this week we've added some names that experienced unusual options activity.

As we continue to include new sources, the number of potential trade opportunities we can choose from increases and gives us a larger universe of favorable setups to take advantage of.

With more and more new highs for stocks again this week, there are fresh breakouts and other favorable setups popping up...