Good News!

A New Way to Catch the Fast-Movers

Dear Bottarelli Research Member,

I’ve received numerous questions about a feature called “auto-trading.” This is a service offered by some brokers that place trades on your behalf. Since some of our Bottarelli Research trades have moved quite fast, I have been working with a series of reputable brokers to get this arrangement set up.

Now please understand, I do not engage in auto-trading. I prefer that you trade your own account. But if you’re going to be away from your computer, traveling for business, or away on vacation, this feature could be a powerful new benefit to your trading. After all, at the end of the day, my top priority is to help you make the most money you possibly can.

So the good news is: I’ve finally gotten this arrangement set up with three different brokers. I’ve listed all three of them under the “customer questions” section on the Bottarelli Research Web site — but please do your own research as well! If you’d like to start with the three auto-traders I’ve spoken do, you can find them listed underneath the seventh question in my “customer questions” section. If you’d like to scroll down to question #7, then here is that direct link:

http://www.bottarelliresearch.com/Questions.asp

Moving onto other news, I’d really like to hold off on entering any new trades over the next two days. Like I mentioned this morning, the aftermath of yesterday’s 190-point rally is still unsettled, and I’d rather not get whipsawed by a counter-move. Plus, I’ll be traveling to Baltimore tomorrow to prepare for a speech that I’m going to give at the upcoming WealthExpo/Atlanta Investor Conference on May 4, 5 & 6th. If you were planning on attending this conference, I’d love to meet you! So take a breather over the next two days as I run scans and look for opportunities that we’ll most likely begin playing early next week. Until then, take the ammo out of your rifle and give your trigger finger a much-needed rest!

ATW FOLLOW-UP: For everyone who made a profit off the ATW trade, I offer you my congratulations. Our calls closed the day at $6.10, so it ended up being a nice little winner. Now, as you may or may not know, a total of 19 contracts were executed at 9:31 this morning on an exchange error — one which the PHLX exchange incorrectly sold these calls between $2.30 and $3.00 per contract. If you were one of the members who got this trade filled, I’m being told that the brokers are putting a lot of pressure on the exchanges to “bust” the orders, or if anything adjust your price higher, to correct this problem. After all, the stock markets are not perfect. Far from it. Mistakes do happen, and this was one of those circumstances. If we remain diligent, I think the problem will be corrected (at least I hope so!)

OXM FOLLOW-UP: It looks like OXM turned out ok as well. After a quick sell price yesterday, OXM stock was back down $0.72 today, which ticked your May 50 Puts (OXM QJ) back up to $5.60. Since the play is officially closed, make sure to use the continued OXM weakness to exit the position for a slight gain.

As far as our current plays, the only open position open is the BDX June 60 Calls (BDX FL). As I’ve noted before, the stock has been stuck in the mud (meaning it hasn’t moved that much higher or lower since our entry) but it may appear like it’s finally gotten itself positioned to attempt a run at its recent 52-week high. Here’s the chart:

Given the history of BDX, I’m not hot on the idea of adding this position to your ledger if you don’t currently own it. That doesn’t mean I’m bearish on the stock, it just means that it’s moving a little slower than I like. If you own the calls, they still remain a hold, as I must learn how to be patient (which will hopefully be rewarded!)

Until next week,

Lock and load!

Sincerely,