The Breakout Multiplier strategy is all about persistence and risk management.

Sometimes, the trades we put on take a few tries to materialize, with some losses along the way. But when you hit that one winning trade, it makes up for everything—often covering those earlier losses and more. That's the key to this approach.

Our recent persistence with $SOUN has paid off in a big way.

We put some calls on a few months back and they went to zero.

We liked the setup even more at this point, so we simply put the trade on again, this time, buying ourselves even more time.

After surging 18% yesterday, our 1/17/25 $7 calls are at a double.

It is time to secure some profits. We want to close half the calls and let the rest ride risk-free....

Speculative tech is on fire, and as we enter the best three-month period for equities, we’re all-in on this theme. 

Following a similar path as recent winners like Peloton and Robinhood, Lovesac Co $LOVE is shaping up nicely as it breaks out of a big base.

As you can see, the stock is on the verge of completing a classic bearish-to-bullish reversal pattern.

Momentum is building, and with volatility crushed at historic lows, the setup looks primed for a pop. 

We want to get long and bet on this being the start of a new uptrend.

Add a juicy 28% short interest and daunting 14x days-to-cover to the mix, and we like this one even more. 

This has all the makings for a massive potential short squeeze.

There was...

Peloton Interactive $PTON is up over 10% this morning and exploding higher from its range!

Our 11/15 $7 calls are surging with it. They are currently trading for over $0.50, which is a triple from where we got in.

This is the perfect moment to execute our strategy—sell half the position, lock in some well-earned gains, and ride the rest into earnings risk-free.

This pre-earnings trade is coming together as planned, and the best part? The stock is just breaking out, so we think there’s plenty left in the tank.

If we break and hold above VWAP this one should keep running for us and be a monster winner. It’s already a multi-bagger.

PTON earnings are October 31st. I’ll...

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On last week’s call, we discussed putting a new trade on SoundHound AI $SOUN as our current calls are really running out of time.

We still love the setup. It’s the same exact situation as when we put the initial trade on two months ago, but better. 

This coil is truly at the apex of its range. A resolution is imminent. Let’s make sure we have the right exposure for it.

Price is currently sitting around the base breakout zone that coincides with the VWAP from the IPO.

Snowflake Inc $SNOW is absolutely on fire, breaking out of its coil with authority these past two days.

This is exactly the kind of explosive resolution we hoped for when we entered our position. Volatility was tight. Now, it’s expanding in our favor. This one is working perfectly according to plan.

Our 11/15 $130 calls hit a high price of $5.15 today. Depending on what you paid, you might have a double on your hands.
 

Tech stocks are taking charge as we kick off the fourth quarter, and I think it’s time to press the gas and prepare for a year-end rally.

When I review our portfolio of open positions I think we have a good mix, and I particularly like how overweight tech we are.

In fact, I think our most promising positions right now are the speculative tech names that we piled into over the past few weeks. I’m talking about Peloton, Robinhood, Snow, and ARKK.

HOOD and SNOW are the only ones working for us so far, but I think this is about to change.

Let’s take a look at the price action in ARKK and discuss why.

When we got long this one, it was coiling in a pennant just above some key VWAPs. 

Last week, ARKK appeared to resolve this coil to the downside as it tumbled to new multi-week lows.

But what has happened since is inconsistent with a pattern resolution… or more specifically, a pattern failure.

There has been no follow-through at all. ARKK is still in the same place it was when it broke down last week.

So, maybe this wasn’t...