NFLX - Stopped Out then Returned over 780%
We issued an alert this week for NFLX and we were spot on - with one exception. The market got whipsawed for a moment and if you adhered to our stop loss you exited and lost 14% on the trade. However, about 30 minuted later NFLX took off. In the days after there was mush positive news and an upgrade on NFLX as well. The result was if you were fortunate enough to have held NFLX to the expiration date it moved from our entry price of $2.25 to over $20 a contract. A return in excess of 780%.
November is historically the entry of the best market period and we hope to capitalize on that fact. However, we are also faced with some geopolitical issues, the Fed hiking rates and many people think there will be a hike in December as well as "quantitative tightening" (QT) as the Fed unwinds the unprecedented monetary stimulus that helped drag the US out of the last financial crisis. Will all these factors kill the bull and bring the bear to life. Only time will tell.