What I’m Seeing Today
Markets are holding up pretty well today, with most of the strength in tech and healthcare.
The larger timeframes are bullish. On the lower timeframes, I’m waiting for confirmation. I want to see 15-minute and hourly buy signals on key names before adding to current positions or initiating new trades. Practicing patience for now.
Today’s Big 3 Scorecard Rankings: 
My Open ANET Trade
ANET, 9.24.26
ANET is currently ranked #1 on the Scorecard, with my A+ signals printing on the daily squeeze. I’m playing this setup with the 200/195 put credit spread for October monthly expiration. The setup is invalid on a daily close below the 21EMA, with an upside target is $220.
ANET is currently trading around $205 per share.
The reason I’m using the spread instead of buying a $225 call comes down to the number of ways this trade can work. If ANET explodes higher, we can still get the max profit from the spread. And if ANET simply grinds higher, we can still get max profit. Or, if ANET trades around $205 every day through expiration, we still get max profit.
There is no free lunch on Wall Street. The trade-off is that a credit spread can have a higher probability of success, but the risk can be more painful if the setup fails.
The other reason I’m using the spread is the risk of being outright short the $200 put. If ANET gaps down $100 tomorrow, that $200 put could go from $6 to $100. If we are short that put outright, that is a problem.
With the spread, the risk is defined. The setup is still valid as long as ANET holds above the 21EMA on a daily closing basis, so I’m hanging tight with the current position.
Stay Focused,
Taylor Horton
Tr3ndy Jon and Melissa Beegle went live on Wednesday to share Trendy Precision, the tool that marks entries, stops and risk zones right on your chart. Check out the replay HERE.