27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
If history is any guide, there may be trouble ahead for shares of Hess(NYSE:HES). A so-called "death cross" has formed on its chart and, not surprisingly, this could be bearish for the stock.
What To Know: Many traders use moving average crossover systems to make their decisions.
When a shorter-term average price crosses above a longer-term average price, it could mean the stock is trending higher. If the short-term average price crosses below the long-term average price, it means the trend is lower.
Why It's Important: The 50-day and the 200-day simple moving averages are commonly used.
The death cross occurs when the 50-day moves below the 200-day. This could mean the long-term trend is changing.
That just happened with Hess, which is trading around $74.49 at publication time.
Remember: Seasoned investors don't blindly trade Death Crosses.
Instead, they use it as a signal to start looking for short positions based on other factors, like price levels and company fundamentals & events.
For seasoned investors, this is just a sign that it might be time to start considering possible short positions.
With that in mind, take a look at Hess's past and upcoming earnings expectations:
Quarter | Q2 2021 | Q1 2021 | Q4 2020 | Q3 2020 |
---|---|---|---|---|
EPS Estimate | 0.18 | 0.29 | -0.66 | -0.56 |
EPS Actual | 0.24 | 0.82 | -0.58 | -0.71 |
Revenue Estimate | 1.37 B | 1.52 B | 1.19 B | 1.16 B |
Revenue Actual | 1.60 B | 1.92 B | 1.42 B | 1.18 B |
Do you use the Death Cross signal in your trading or investing? Share this article with a friend if you found it helpful!
27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
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