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Our Tacticians Won’t Let Market Chop Get in the Way of Great Gains

Ben Dressing

Statistically, August is one of the tougher months for the markets, as you can plainly see from the chart below. And in this first week, the markets are behaving as expected, with a weakness that’s been especially felt in the tech sector.

Two Tough Months Chart

The War Room is in expert hands, though. Bryan, Karim and George are steering our ship through the stormy markets, picking up at least one win a day on average and teaching all our new deckhands a thing or two about trading like a pro.

Tricks of the Trade!

While the markets haven’t been fantastic this past week, our tactician’s navigational skills certainly have.

Take our earnings trade on FSLR, for example – we sold our puts late last week and then held on to the calls until this Monday.

Sure, like most services, we could have put in the minimal effort and just closed both legs at the same time, walking away from the table at just about breakeven, maybe even with a loss. Heck, that’s August, right?!

Not in The War Room.

Instead, Bryan waited patiently and kept his eye on the charts, closing the calls only when they moved in the right direction.

Bryan Quote

The very next day, Bryan found another opportunity to show off his trading prowess. Some members were concerned with the health of our CAT position early on, but again Bryan demonstrated the power of patience. His understanding of support levels were the difference between a winning trade and a losing one.

Bryan Quote 2

On Wednesday we saw yet another example of Bryan practicing what he preaches. Our SWBI calls ticked up nicely, and we pocketed gains again on the firearms producer.

Look at the chart for that play:

W Move Chart

Bryan perfectly called the “W” move and then closed calls for profits as the “M” was taking shape, a clear illustration of what he’s tracking on a minute-by-minute basis.

In just the first three days of the week, members got a crash course on why understanding concepts like support levels, “W” and “M” patterns, and multilegged trades can make all the difference between a winner and a loser.

Many members, like Donald S., appreciate the wealth of knowledge our tacticians are able to leverage on their behalf.

Donald S. 8/4/2021 at 3:51 p.m.
Thanks, Bryan. This is the kind of info I’m going to thrive on as a Newbie. Same goes for you, Karim. WR has the lock on options trading that I’ve never seen in 40+ years as an investor. Keep up the good work!

 

Big Buyouts and Overnight Wins

On Tuesday, one of Karim’s favorite picks, Translate Bio (TBIO) hit it big, with a buyout offer from Sanofi sending shares soaring. If you still had shares from when he first recommended the stock last July, you’re looking at a 100% gain!

Karim Quote

Not to be outdone, Bryan locked in a fantastic overnight gain on FireEye (FEYE) to close out the week on Friday.

First, on Thursday afternoon he laid out what he expected to happen based on past results…

You probably remember how this tactic works. Given the recent trend on earnings reactions, we speculative using only a call – or only a put – and we go into earnings playing one side only. Since certain stocks tend to follow directional patterns in reaction to earnings, this strategy has gained momentum lately – so let’s give it a shot again now.

FEYE: Last three earnings reactions: -6%, -7%, and -5% – all lower.

Then, on Friday morning before the market opened, Bryan reviewed the actual outcome…

Investors don’t like companies that are treading water – and that’s exactly what’s happening with FireEye. They reported quarterly earnings of $0.09 per share, which was in-line with the Zacks consensus – and exactly matches the earnings of $0.09 per share one year ago. Revenues of $247.96 million missed Zacks estimate – which has triggered the shares to drop by 10%. When it comes to our directional speculation, we’re looking really good here. At a stock price of $18.00, your August 21 puts have $3.00 of intrinsic value – which could be an overnight double. Be ready to ring the register! More to come.

Once the market opened, Bryan sealed the deal and nailed another overnight double to the board!

Bryan Quote

This led to many War Room members reaping profits right before heading into the weekend…

Ronald D. 8/6/2021 at 9:35 a.m.

FEYE in at $1.46, out at $3.35. 129.5% Win overnight. Thanks Bryan.

novice6 8/6/2021 at 9:35 a.m.

I closed the 1 Shares/Contracts I opened at $1.44 for $2.85. FEYE sold for 98% gain

Bill C. 8/6/2021 at 9:34 a.m.

In $1.44, out $3.04 +111% overnight. Thank you Bryan. That was a “Super” speculation. 🙂

James D. 8/6/2021 at 9:33 a.m.

I closed the 40 Shares/Contracts I opened at $1.45 for $2.88. Sold all 40 contracts @$2.88 = $5,678.89 Profit!

And they weren’t the only winners this week. Check out these members results from some of our other plays!

Nick F. 8/4/2021 at 9:34 a.m.

I closed the 2 Shares/Contracts I opened at $6 for $8.4. TY BB 38% is a nice start!

Buckley A. 8/4/2021 at 9:35 a.m.

In @ $6.02-out at $8.25. 37% overnight gain-Nice BB!

Lance 8/4/2021 at 9:35 a.m.

In $6.05 and out $8.59 Made about $250 on one contract overnight. TY BB!

HD S. 8/4/2021 at 9:36 a.m.

Out $8.38. Thx Bryan 39% winner.

Ira K. 8/4/2021 at 9:38 a.m.

STC the P’s for 152.36% gain! TY @BB.

Sal F. 8/4/2021 at 9:41 a.m.

In at $5.37, out at $8.30. Nice 54% gain!

Chuck G. 8/4/2021 at 9:41 a.m.

Call in @285.68, out @849.31! Put in at $3.20, out at $0.18; overall $287.26 win! Thanks, BB!

Steve D. 8/4/2021 at 9:54 a.m.

AKAM Puts: In $3.30. Out $8.03 (+143%)!!!! Still holding Calls for price improvement.

Todd F. 8/4/2021 at 11:51 a.m.

Out at $8.30 awesome ~38% gain overnight!!! My first week too!!!

Ronald D. 8/6/2021 at 10:39 a.m.

In SPCE at $1.11, out at $0.78 for a 29.7% win. Thanks Karim.

Tad 8/6/2021 at 10:40 a.m.

I closed the 1 Shares/Contracts I opened at $1.11 for $0.78 for a 42.3% winner. THX KR!!

Normand L. 8/6/2021 at 10:42 a.m.

In at $1.11, out at $0.78 for 42+%.

Even in the stormy market months of August and September our tacticians are pulling in great gains and teaching our newest traders the skills they’ll need to keep from going overboard!

Karim put it best:

August is usually choppier than July, and fears of September don’t make it any better. The market is always scared of dates – but out of crisis springs opportunity!

Have a great weekend!

Best,

Ben Dressing SignatureBen Dressing, Associate Product Manager

Monument Traders Alliance
COMMENTS OF THE WEEK

WAR King
coach
August 6, 2021, 10:43 a.m.In at $1.42. Out at $3.30 = $1.88/132% gain. Thanks BB.

Wealthy Retirement
Ryan J.
August 6, 2021, 11:47 a.m.Don’t be hard on yourself BB! I’ve been a member for 3 weeks and already made over $12,000, my best month in history!

WAR ROOM WINNERSWeekly Winners

NAME TOTAL GAIN
FEYE 20 Aug 21 $21 Puts 116.96%
Akamai Tech Spread 38.64%
SPCE 21 Jan 22 $16 Puts 29.29%
SWBI 20 Aug 21 $22.5 Calls 10.80%
CHWY 20 Aug 21 $82 Calls 9.40%

WAR ROOM WRAP-UP

WINNING TRADES THIS WEEK

10

KARIM’S PUT-SELLING WINSTREAK

54

WINNERS IN 2021

331