Wealthpop

One of our main goals with these video walkthroughs, and indeed, our strategy of trading is to demystify the world of options trading. You’ve probably heard it all. Options trading is impossible to be profitable in, its not a viable means to make money, so on and so forth. However, what if the real reason you haven’t seen a meaningful shift in your options trading ability is much simpler than that?
What if it all comes down to the education, or lack thereof, that is the real bottleneck? Well, we hope to have a solutions to all your hopeful traders out there. Today, we have yet another example of how we plan to declutter your trading strategy by finding clean and obvious trade setups, so let’s get into it.
Ulta Beauty (ULTA) is one of those simple examples, which has set up a clear level of support around the whole psych number of 500 as you can in the video below. However, what you will also have noticed is this level of support has been broken, implying lower prices could be the the most plausible outcome at this point.
If we are looking at the yearly chart, we don’t see another level of support until 480, a significant drop from current levels. The higher probability trade here would to likely take puts, while being mindful that a bounce, however big or small, could come into play at that 480 level. My advice? If you were to take a short position, scale into your position with a stop near 505, as you could get a retest of that 500 level if the market shows us strength. Be sure to check out the full video below for any additional thoughts on this setup!
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Learn to find these levels for yourself when you join The Profit Machine. There, you’ll learn all about my favorite stocks, setups, strategies, and plenty more. You’ll also be invited to weekly webinars where I answer questions and go over important trading lessons, like the one in today’s article. The best part, you’ll also receive live trade alerts. Not only will you get a world-class education, but you’ll earn while you learn.

Get a jump start on your options education and put yourself in position to win in 2023. Sign up today! Until then…
Good Luck With Your Trading!
Christian Tharp, CMT

ETF Watchlist
There isn’t much green in this market and, even on good days, there isn’t much to jump out of your seat for. However, there is one clear sector of the market that seems to be propping up the rest of the market. This sector should come as no surprise to seasoned traders as it is usually the leader of any rally the market is treated to.
The tech sector is home of some of the most valuable companies in the world and companies that investors feel the safest investing their money into whether the economy is on the rocks or not. There aren’t too many rosy pictures being painted of the economy, but that doesn’t always translate to a stock market that mirrors that sentiment.
In fact, there is still a bullish rally going on, albeit a slow-moving one, until there isn’t. Which is why we are shifting our attention to the sector that is leading the pack.
Vanguard Information Technology ETF (VGT)
Though there is resistance that is incoming just a few dollars away, this may make the setup all the better. This resistance level comes into play around 391, at the time of this writing, the price of the ETF is just under 390. Keep this level on watch if the strength in the sector continues to maintain.
For a bonus ETF play you should have on watch, be sure you watch the full video breakdown below!
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Join my Smart Trades options trading service today to see exactly how my students and I trade these types of scenarios! Smart Trades is where I teach my students how I trade options on some of the largest ETFs on the exchange. As you learn, you’ll get exclusive access to all my trades with notifications any time one is put on. Now, you can learn how many use this high-income skill to achieve financial freedom. Join today!
Good Luck With Your Trading!
Christian Tharp, CMT

Is this market rally just getting started, or is there some clear signs revealing themselves that this could be built on a house of cards? Well, as always, you needn’t look much farther than the charts to see what clues are being left behind for market participants.
When it comes to the Nasdaq (NDX), if you were to look at the chart, ignoring any patterns that were created, you would simply see a market that is on a tear. However, once you start to move past that base level analysis to see what’s going on under the hood, you’d begin to see something you may not be so confident about.
Students of mine are all too familiar with a rising wedge formation. This is often a bearish signal that forms just as a stock, or in this case, an index is ready to give us some kind of pullback, the size of which is the only truly unknown piece of this puzzle.
How do we know this? For that we can move our attention over to the S&P (SPX) to see how this formation has played out in the past. In the video, you will see many rising wedges that have taken place in the past on SPX and the resulting move. This formation, as we can see, has usually led to a pretty significant pullback in price. The only question that remains, is will this bearish pattern be confirmed on the NDX?
The answer to that will only be revealed to us as time progresses. However, this is still a great lesson and something my students and I will keep an eye on closely so as to not miss out on any of the upcoming moves. Be sure to watch the video below for the full breakdown.
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To learn more about this setup, as well as how my students and I plan to trade it, join my Smart Trades options trading service today! Smart Trades is where I teach my students how I trade options on some of the largest ETFs on the exchange. As you learn, you’ll get exclusive access to all my trades with notifications any time one is put on. Now, you can learn how many use this high-income skill to achieve financial freedom. Join today!
Good Luck With Your Trading!
Christian Tharp, CMT

ETF Watchlist
If you’ve been keeping an eye on the market in search of a good swing trade to make, chances are you’re not having too much fun. Most of what traders and investors have been treated to is chop, and for traders, especially swing traders, this is about the worst thing that could happen to this longer-term strategy.
Chop eats away at your options contract value if the implied move doesn’t come as expiration approaches. Experienced traders know this effect as time decay, or Theta. What Is Theta? The term “theta” refers to the rate of decline in the value of an option due to the passage of time. This means an option loses value as time moves closer to its maturity, as long as everything is held constant.
With chop, this is exactly what happens and why it’s a traders worst nightmare. You may have done all your homework, found a great setup, and applied a reasonable trade, but if the stock doesn’t make a meaningful move toward your strike price, you’d be better off cutting your loses and waiting for a break out of the range the market is in.
We thought CPI, which was released earlier in the week, would finally break us out of this range, but as we all know, any break was only temporary before falling back into this defined range we have been hovering in for quite some time now.
However, there is one trade that we have been watching for a while that is giving some signs of life.
iShares 20+ Year Treasury Bond ETF (TLT)
For the past six months, the price of TLT has also remained in a range, not breaking lower or higher, despite the Fed continuing to raise rates. The value of TLT works in an inverse direction of rates. Meaning, if rates rise, the value of TLT is likely to decline. However, if rates decline, the value of TLT should rise.
Since rates are continuing to steadily rise, one could keep TLT on their watchlist for a short play. If, however, the Fed was to cut rates like has been the rumor for later in the year, a long play could be entered in anticipation of that. For now, it is best to add this to your watchlist as my Smart Trades students and I have for the past several months. Be sure to join us to get in on all the action for when that time comes and to not miss out on all the other trades we will make in the meantime.
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Join my Smart Trades options trading service today to see exactly how my students and I trade these types of scenarios! Smart Trades is where I teach my students how I trade options on some of the largest ETFs on the exchange. As you learn, you’ll get exclusive access to all my trades with notifications any time one is put on. Now, you can learn how many use this high-income skill to achieve financial freedom. Join today!
Good Luck With Your Trading!
Christian Tharp, CMT

ETF Watchlist
In light of April’s CPI print coming in lower than expected, its lowest print in two years, we already have an ETF in mind for our Smart Trades service. Anything that involves risk-on stocks or technology names. As investors look at this as a sign to jump back in the market with the hopes that maybe this causes the Fed to rethink their rate hike strategy sooner rather than later, these stocks should be the ones that are getting ready to move the market.
That being the case, the fund that is on our watchlist today is one of the most heavily traded funds out there. This means there is plenty of liquidity and therefore, pretty much a guarantee of getting a good spread on the contracts between the bid/ask, as well as high enough volume to get a meaningful move. Let’s take a look at what ETF we have on watch, following the report of cooling inflation.
Invesco QQQ Trust Series I (QQQ)
The Q’s or QQQ is one of the most traded funds out there, next to SPY, seeing as how these funds aren’t exactly sector specific and attract a wide number of traders to them. Some of QQQ’s largest holdings come from well-known companies like, Microsoft (MSFT), Apple (AAPL), and Amazon (AMZN), which investors should pour back into now that there is cause to be more bullish and optimistic about where inflation is headed.
With inflation cooling and stock prices rising, I would say to watch out for 323.5-324 retest before heading higher. However, like you should do with any ETF you plan on trading, keep a close eye on the stocks that command the highest amount of assets held by the fund as these stocks will determine where the price of the ETF are headed. If these stocks head higher on the back of this CPI print, than traders can reasonably expect the prices of QQQ to head higher as well. Be sure to watch my video below for other ideas, as well as a breakdown of what we saw in the market yesterday.
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Join my Smart Trades options trading service today to see exactly how my students and I trade these types of scenarios! Smart Trades is where I teach my students how I trade options on some of the largest ETFs on the exchange. As you learn, you’ll get exclusive access to all my trades with notifications any time one is put on. Now, you can learn how many use this high-income skill to achieve financial freedom. Join today!
Good Luck With Your Trading!
Christian Tharp, CMT

ETF Watchlist
The market, once again, is not giving traders much to work with. Yesterday was one of the lowest volume trading days since November 25th 2022, which was a half day for Thanksgiving. This may set the stage for a slow week leading up to another CPI drop, which often has the ability to move the market in either direction.
If CPI comes in a bit softer than expected the market may surge higher, however, if the inflation number comes in a bit hotter than expected, it could send prices careening off the cliff. Of course, the market has a mind of its own, so the opposite of both are just as likely to happen, but one thing is for sure, movement should follow that announcement.
The problem most traders have been having is there hasn’t been too much trend in this market. Any surge in prices is often tailed by a drop in prices and and drop in prices means a surge could be right around the corner as market makers move prices in the opposite direction or the initial move.
However, we can still look for certain sectors of the market that will give us more trend than if we were to just trade the overall market with ETFs like SPY or QQQ. Let’s take a look at one of those sectors now.
Consumer Discretionary Select Sector SPDR ETF (XLY)
One sector that has started the week off stronger than other is Consumer Discretionary sector, which we will track using the XLY. The ETF is consolidating between 145-150 and with the coming catalyst of CPI, which could lead to a break of either of these levels and could be what sends the price higher or lower, depending on the final reading. With the strength coming into the week it wouldn’t be too far fetched to assume XLY could end the week with strength, but this largely depends of the CPI reading.
If the ETF breaks the 145 mark then we could suspect the strength to fall off, but with volume to the upside and above 150 we could see some follow through. Watch the video below to see what other sectors we have on watch before the week really picks up.
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Join my Smart Trades options trading service today to see exactly how my students and I trade these types of scenarios! Smart Trades is where I teach my students how I trade options on some of the largest ETFs on the exchange. As you learn, you’ll get exclusive access to all my trades with notifications any time one is put on. Now, you can learn how many use this high-income skill to achieve financial freedom. Join today!
Good Luck With Your Trading!
Christian Tharp, CMT

ETF Watchlist
the back and forth of the stock market continues, but there are some sectors that appear to be weak, no matter what the rest of the market is doing.
One of the weakest sectors in the market continues to be the financial sector. With all the uncertainty that surrounds banks and other financial institutions, investors are still spooked by the collapse of banks, as well as the possibility that more banks could soon follow suit.
This means we are looking at this sector closely for further declines and could open the door for a possible Smart Trades opportunity.
Financial Select Sector SPDR ETF (XLF)
Since we are keeping our eye on this sector for further sell offs, it only makes sense that we watch the XLF. As investors continue to remain skeptical on the health of the sector overall, it is our belief that we may not be out of the woods yet for this sector. A short play may be the highest probability trade we have at the moment should bank failure contniue.
Keep an eye out for any bank closures to confirm this trade or sentiment toward the industry to worsen.
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Join my Smart Trades options trading service today to see exactly how my students and I trade these types of scenarios! Smart Trades is where I teach my students how I trade options on some of the largest ETFs on the exchange. As you learn, you’ll get exclusive access to all my trades with notifications any time one is put on. Now, you can learn how many use this high-income skill to achieve financial freedom. Join today!
Good Luck With Your Trading!
Christian Tharp, CMT

ETF Watchlist
The Fed has broken the market yet again, sending it lower after deciding to raise interest rates once more by a quarter of a percentage point. After the announcement, stocks all across the market fell, led by financials and energy.
With all the turmoil in the financial sector leading up to yesterday, we think this could be an area of the market to keep on watch, more specifically, the regional banks.
SPDR S&P Regional Banking ETF (KRE)
Experts have all chimed in with their thoughts on how this banking crisis could play out, but few have said we are fully out of the woods at this point. One of the most prominent of these famed investors who has said the worst has yet to come with regional banks is billionaire investor Bill Ackman. Should the ground give out on this industry, a short trade could be entered and traders could let this one ride.
This could be one of the higher probability trades as depositors lose faith in the banks, especially the smaller ones. Given what happened to First Republic Bank recently, it isn’t too far fetched to think other banks of smaller or similar size could follow suit. Keep this ETF on your radar if the market continues to pull to the downside.
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Join my Smart Trades options trading service today to see exactly how my students and I trade these types of scenarios! Smart Trades is where I teach my students how I trade options on some of the largest ETFs on the exchange. As you learn, you’ll get exclusive access to all my trades with notifications any time one is put on. Now, you can learn how many use this high-income skill to achieve financial freedom. Join today!
Good Luck With Your Trading!
Christian Tharp, CMT

One of our favorite stocks to trade has finally come up to an old resistance level, signaling there could be another retreat from this level. Given the weakness of the market after yesterday’s FOMC meeting, this could be another rejection in the making.
Couple that with the MACD sell signal and the fact that we have a momentum divergence, a trade to the downside could end up being the highest probability trade. This divergence means the buying pressure that pushed the stock up to this resistance level has slowed and is beginning to reverse course.
If the weakness in the market continues, traders should keep this trade on their list as what could be their next big trade.
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Learn to find these levels for yourself when you join The Profit Machine. There, you’ll learn all about my favorite stocks, setups, strategies, and plenty more. You’ll also be invited to weekly webinars where I answer questions and go over important trading lessons, like the one in today’s article. The best part, you’ll also receive live trade alerts. Not only will you get a world-class education, but you’ll earn while you learn.

Get a jump start on your options education and put yourself in position to win in 2023. Sign up today! Until then…
Good Luck With Your Trading!
Christian Tharp, CMT

Our trade idea today comes from a stock with the ability to take off in a hurry, consequently, it has the ability to move in the other direction too. However, there seems to be a well-defined range the stock is consolidation around as the overall market tries to break out of its congestion.
Nvidia (NVDA) has formed a horizontal channel between 262 and 280 where it has bounced around between for a couple weeks now. This zone of congestion could mean the stock is ready to breakout at any moment, perhaps to the downside or upside.
To the downside, watch for a break of and hold below that 262-264 zone for puts and for calls, keep an eye out for a break out above pre-market high of around 275. As always let price action around these levels dictate when and if you enter the trade. Do not blindly take a trade simply because price has touched that level or even temporarily broken it. Check out the video below for more!
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Learn to find these levels for yourself when you join The Profit Machine. There, you’ll learn all about my favorite stocks, setups, strategies, and plenty more. You’ll also be invited to weekly webinars where I answer questions and go over important trading lessons, like the one in today’s article. The best part, you’ll also receive live trade alerts. Not only will you get a world-class education, but you’ll earn while you learn.

Get a jump start on your options education and put yourself in position to win in 2023. Sign up today! Until then…
Good Luck With Your Trading!
Christian Tharp, CMT