Hi Shoppers,

If you are thinking we could test the previous lows, which I think we will this week, I have a quick easy way to get short.

Check out the ProShares UltraShort QQQ (Ticker: SQQQ):

SQQQ closed just over $59 on Friday. 

I think it will test the most recent high of $61.40 and possibly onto $66.

Looking at the options:

The overall implied volatility is high, but you can buy an at the money call and sell an out of the money call for a higher IV.

I like the 60/67 call vertical buying just 104 IV and selling 106.80 IV.

My second trade idea is in Peabody Energy (Ticker: BTU).

Here is the chart: 

BTU has made a triple top and has a shooting star created on Thursday.

Friday’s candle is confirmation BTU is trading lower.

Looking at the options, I like the Oct.21 26 (at the money) puts:

I think BTU can trade down to my next support level at $25 and then down to the 50-moving average at $23.45.

Don’t forget to email me [email protected] with ideas.

AND don’t forget to trade the most important piece of market data with me this week!

Thanks for Reading … See You Next Tuesday.

Licia Leslie