Trading Options With A Full Time Job | Finding Quality Swing Trades

yo what's going on guys welcome back to the channel welcome back to another video in today's video i want to share with you guys how i use technical analysis and option contracts to find really nice swing trade setups i know a lot of you out there work nine to five jobs you can't watch the stock market every single day every single minute and you want to have a way to still trade while working your nine to five using really nice technical analysis setups and this video should really help you out we'll go over what i look for in the charts what technical analysis i use and then we'll go on to the options chain and i'll show you what option contracts and what expiration dates you should be using i hope that this video connects with some of you out there that are working nine to fives that you still want to trade and still want to practice your trading and i think this is a great way to get started and find some really quality setups so before we get into this one make sure to go ahead and smash that like button subscribe to the channel for some new option trading videos and press that bell notification so you know every single time that i post [Music] all right guys so before we jump into this let's go ahead and break down quickly what we're going to look at we're going to look at facebook apple netflix and shopify for stocks that had really nice quality swing trade setups in the last few weeks i did take a few of these swing trades i've talked about them on the channel a little bit as well as with the discord members but we're not going to get into those trades we're going to just look at how i found them i know a lot of you out there don't know what a daily chart is or don't know what a four hour chart is because you're too focused on the one minute the five minute trying to trade those short interval trades but i promise you that if you zoom out look at the daily look at the four hour you can find some really strong support and resistance areas that you can trade off of if you're working a nine to five job if you want to find swing trades you should throw out everything below the one hour use the one hour the four hour the daily charts those are really nice places to find great technical setups and in today's video i'm going to show you how i do that alright guys so we have the charts pulled up first we're going to go ahead and look at apple and we're looking at the daily chart here the green line is the 100 day moving average the blue line is the 20-day and the yellow line is the 50-day the 100-day moving average is historically an extremely strong area of support on some longer-term time frames and that's why i have that up here on the charts so what we can see here on apple is that on its ride higher it was respecting the 20 day once it got into some trouble here fell off its highs started to bounce around it found some really nice support on the 100 day and this is what i was watching to find the apple swing trade that i'm actually currently holding so first things first what we can see here is that we have some strong support around this 108 area now why do i say that the reason i say that is because you can see we had a test to the 108 we sort of bounced around chopped around came off of it and moved up to 124. now the second time that apple came down bounced right off that 108 area again and very nicely it bounced off the 100-day moving average as well so really strong support there's a lot of buyers in this area in this range now the next time apple came down it did not come down to the 108 area but you can see that it bounced perfectly off that 100 day moving average so if you guys are checking these charts daily after work after your nine to five and you see that it's coming down to the 100 day moving average that's where you say okay this might be worth the trade it looks like it's coming down to the 100 day moving average there might be an opportunity to take it on the bounce now with options you don't go ahead and get into short expirations you don't buy you know weeklies expiring in two days or in five days because realistically these trades don't take that long to actually work out you can see that in this case yes it did sort of bounce off of it and stay green for the next five or six days but say in this example it chopped around for a little bit and if you had short expiration contracts they would get killed in that environment and that price action and that's not what you want to deal with so ideally you look for these hundred day moving average bounces you look for you know areas where there was strong support in the past and you try to get a contract with some time on it now the next thing you're looking at here is you can see some really nice support here at that 112 area now the reason i say that is because it bounced previously right here at 112 and it bounced again right here at 112. so you can see it has bounced at that 112 area and it looks like it came right back into it right at that 100 day a great technical setup for a swing trade so i went ahead and i pulled up my each right here so we can look at you know what contracts would you you know want to look at if you're looking at a swing trade if it's something that you want to give some time you found a nice technical setup i want to get at least say four weeks to two months you know to give this stock some time to work out so you can see i'm currently in this apples to trade actually so i have january 21 122.50 calls now you know i'm up just about 77 on this right now so a really nice trade i took these right when it bounced off this 100 day so a nice setup that i got time on you can see that i have until january 15th so these expire january 15th giving myself time for this to set up for apple to work out because i am long-term bullish on this and i do have time for it to work out now i know if you wanted to get short expiration i don't recommend that because if apple falls one day these can really get affected even though the swing trade is valid in the long term those short fluctuations could really mess up your option premiums you can look at januaries you could look at februaries even marches go out get some time you know that's what you want to focus on when you want to look for swing trades now at this time i would not recommend getting an apple because what we can see is we have overhead resistance here at 122 we have it at 125 so this area will be tough for apple to get through and try to break highs you want to try to find setups that are at the lows and at really strong support areas all right so the next one we have is netflix again similar thing we have a really strong support area here at 470. so i have that gray bar sort of drawn out here we can see it bounced once twice three times four times five times it has bounced off of this 470 area and what does that mean when a stock bounces multiple times at that level that means there are buyers that are willing to pay that price for the stock and they are going to bid up the stock until it bounces off of it so we say we see once again bouncing off of that and i took a swing trade off of this bounce i showed it in the discord chat i think i've also shown it here on the channel but we can see netflix i was up about 70 took those profits i called it out in the discord chat here i can scroll back to see when i took this so i went ahead and i found the netflix where i called this out it was on the 10th of november you can see at the time this is what the chart looked like so this is what the chart looked like at the time and this is what it looks like now so we have you know a really nice technical setup here bouncing off of that support and we had that continuation higher so we saw that set up in the chat we took that trade i know a lot of people took that with me but this is what i'm looking for when i find technical setups i'm looking for support areas i want to buy down here i don't want to buy where it is right now i've already sold it because i do see some resistance up here at 5 10 so you can see we've had resistance right here resistance there we've had some resistance in the past over here and i don't want to hold through this i'm looking for this quick move higher on a swing trade that took just about uh just about you know 10 15 days you can see i bought it on the 10th i sold it about a week ago or a few days ago so it took just about 10-15 days for me to make this work out and that's exactly what i was looking for a nice support bounce off of netflix hopefully you guys see what i'm looking at here so the next one is facebook facebook is another setup that i was looking at with the chat you can see another great support area for facebook we had an extremely nice setup here you can see that the facebook was trading up higher with the 100 day moving average similar to the example we saw on apple so we had a 100 day moving average test here another one right here and we had another test really quickly right here around 260 dollars a share a really nice trend line as well if you draw that trend line up higher continuing to hold that trend as we bounce higher making higher lows i went ahead took this trade as well with the group looking at this exact technical setup buying some long-term expiration contracts when we bounce down into this 100-day moving average again this is not you know a next week expiration play or two weeks out you want to give yourself time you want to make make your you know some time for these trades to work out as you can see netflix did sort of chop around it did move up but it sort of chopped around for two or three days if you had short expiration contracts those would have definitely got hurt and you probably would have panic sold or got out of the trade and not gave it time to work out time on the contract find really nice support plays that's exactly what you want to do so is facebook still a buy after me posting this video i don't believe so the reason is because you have some really strong resistance here at 290 you can see it touched there once you know in the past right here we bounced into it sort of wicked off of it so at this time if you are a swing trader if you work a nine to five job i would wait until you see us retest this trend line or even retest this 100 day moving average to get your entry the final one we'll go ahead and look at is shopify so shopify is an extremely similar example to netflix if we zoom in here on the chart on shopify what we can see is once again extremely strong support here at a base of around 900 a share we've bounced off of it multiple times one two and three and if you got in right here on this bounce let's say you were a little bit early to it let's say you got it on this day which was the 10th you would have chopped around for just about five days so for a whole week you would have been probably frustrated if you had short expirations or if you were watching you know the daily or the five minute or ten minute chart every single day you probably got what i got a little frustrated but if you're you know looking at longer time frames if you have the daily chart and you trust in your technical analysis this is a great setup to be patient on to have some time on the contract so you can see this worked out beautifully a bounce once again off 900 back into 1100 which is a top so you can see is shopify a buy now at this top i would say no because you don't want to buy these when they're at the top we have a really strong resistance area up here at 1100 it has already fell off of it a little bit does it come back down to 900 if you know ecommerce stays hot if tech stays hot maybe not maybe it tries to bounce on this 100 day or the 50 day over here but you know you don't want to buy when the stocks up here you don't want to chase them you want to find it at a really nice base support area that's exactly what i was looking at so i actually had this set up as well in the discord chat we can see right here on the 18th look at this is what shopify chart looked like on the 18th so we can see it look just like this i believe it was on this day right here when i called it out shopify bouncing right into that support and we can see right after posting that we had a really nice bounce so looking for these support areas is a great way if you work a nine-to-five job if you need to find great technical setups this is a great way to do it all right guys so you may have realized we were on the daily chart that entire video don't be scared to look at the daily it is a great way to find great technical plays strong support strong resistance make sure to look at that daily even if you're taking short expiration trades or your scalping option contracts make sure to look at the daily because you may be trading into a strong resistance or if you're you know if you're buying put options you may be trading it down into a strong daily support area so you definitely want to keep an eye out for that hopefully this video helps some of you out there that are looking for ways to trade ways that you don't have to watch the stock market every single day i believe this is a great way to do it i found great success using this strategy finding really strong support areas and taking some longer dated options on it say maybe a month out two months out that's where you want to look at and find those contracts so if you did enjoy today's video make sure to go ahead and smash the like button it'll really help out the video and my channel i appreciate all the support if you want to stay tuned for some future videos subscribe to the channel press that bell notification i hope you guys have a great rest of your week and i hope to see you in the video on friday peace

Channel: Vincent Desiano

Views: 34,906

Rating: 4.9742956 out of 5

Keywords: options, options trading, stock options, trading options, put options, call options, how to trade options, how to make money, day trading, options for beginners, vwap strategy, vwap indicator, 9 day exponential moving average, trading strategies, option trading strategies, options trading explained, options trading for beginners, how to day trade, swing trade, swing trade options, swing trade strategy, tsla stock, option, apple stock, day trading with a job, swing trading

Id: iZ7Td48yis8

Length: 12min 52sec (772 seconds)

Published: Wed Dec 02 2020