Hey Traders,
We finally got a weekly win for indexes …
But the S&P 500 (Ticker: SPX) wasn’t the only thing winning this week!
In fact, using one trading strategy I was able to close out not one, not two, but THREE wins over the past five trading days …
Here’s how I did it …
(And if you want to make sure you’re in for the next one, you can join me right here!)
All three of these wins were thanks to following Big Money flows in the market.
See, institutional traders like hedge funds and banks have millions of dollars to dedicate to resources like trade tools, research, and expert insight.
So when they’re willing to dump hundreds of thousands (or millions!) into a trade, well …
Usually there’s something to it.
And when I can spot and verify these trades using my Big Money Flow system …
I can optimize Big Money’s move, piggyback their trade idea, and ride the money flows all the way to profit!
Check it out …
Southwestern Energy Company (Ticker: SWN):
This was my largest win of the week … and I was able to score a more-than-money-doubling return in just 10 trading days!
During our live Big Money Flow Show on Friday the 13th …
Andrew Giovinazzi pointed out quite an interesting trade that crossed the tape on this energy name.
He noted a block of 8,500 September 8/10-strike call spread that had been bought to open …
The trader had paid $0.62 for the September 8-strike calls, and sold the overhead 10-strike calls for $0.26, giving them a net cost of $0.36, or $306,000.
Not the biggest trade on the market, but an interesting move on an energy stock that was trading around $6.50 at the time …
Here’s the thing …
I liked this trade … but I knew I could make it better.
Yes, the September-dated options were cheap … but were they really the ones that would give me the biggest bang for my buck?
I didn’t think so …
So instead, I opened 12 contracts of the July 1st 7-strike calls for $0.48.
Yes, slightly more expensive, and yes, less time to play out … but it also required a much smaller move out of SWN to hit the money!
And the rest, as they say, is history …
After a few days of lackluster price movement, SWN shot higher.
After holding for a week, I decided it was time to start taking profits …
So on Tuesday I sold eight of my contracts for $0.96 …
On Wednesday, I sold three of my contracts for $1.22 …
And, finally, on Thursday, I closed my final contract for $1.71!
In total, I scored a 127% gain just from copying Big Money.
And on the same day …
iShares MSCI Brazil ETF (Ticker: EWZ):
Now, credit where credit is due … this trade was actually thanks to Andrew Giovinazzi and Bill Griffo, who were kind enough to host the Big Money Flow Show during my absence.
They spotted powerful money flows in the Brazilian ETF …
And Griff’s macro knowledge meant he also had some clues about why Big Money may be so aggressively pursuing EWZ.
The shares were down from recent highs …
But Big Money was betting on a turnaround … and fast!
Andrew spotted 40,000 contracts of the May 6th 35.5/36-strike call spread cross the tape, with the trader buying the 35.5-strike calls for $0.18, and selling the 36’s for $0.10.
This was a little too aggressive for our taste – after all, it gave the trade just a single week to play out! – so Andrew led the charge to purchase four June 35-strike calls for $1.09.
I’ll admit … I got a little nervous about this one.
But this week’s market rally took EWZ where we needed it to go …
And we were able to lock in a nice +10% win on Thursday, selling our calls for $1.20.
If we had blindly followed Big Money’s aggressive timeframe, we would not have been so lucky.
But by doing our own due diligence, and optimizing our trades, we were able to score a respectable win.
Which brings me to our third … final … and fastest winner of the week …
Schlumberger NV (Ticker: SLB):
During Tuesday’s Big Money Flow Show, I noticed some major action in SLB.
The shares had actually had a strong 2022 so far … and recent price-action indicated to me that they could be getting ready to break out on another move higher …
I noticed someone was quickly scooping up tens of thousands of June 47-strike calls for about $0.63 …
In sum, this trader did about 52,000 in volume on this trade …
And I was fully prepared to follow along!
However … I thought there was a better trade to make.
So instead of opting for the same contract as Big Money, I bought six contracts of the June 24th 45-strike calls for $1.50.
Yes, a little more expensive … but also a little further out, and a little lower down!
And it didn’t take long for these calls to pay off as SLB rocketed higher …
By Wednesday, I was able to close out three of my six contracts at $2.30 …
On Thursday, I closed two more for $3.40 …
And Friday, I finally decided to close out my final contract for $4.05!
That means I scored +97% in just THREE trading days.
Thank you, Big Money.
Remember … you can get in on the next Big Money win …
All you have to do is join me here.
Your Only Option,
Mark Sebastian