Spotting Triple-Digit Opportunities During a Down Market

The fear of a bear market keeps many investors up at night.

They get caught up on the thought that it could happen any day — a sudden 20% plunge in the stock market. There could be a three- to four-year bear market. They worry that stocks are going bankrupt.

How do you invest in a time like this?

Well, as options traders, the answer is always simple — you keep following your strategy.

That’s right.

You don’t have to flinch when it comes to bear markets. Whether the dips are short-lived like we saw earlier this year or a prolonged decline like we experienced from 2007 to 2009 … a sound strategy will keep trading profitable options in any market.

Because one type of option allows us to profit from the pullbacks.

If a stock is going to zero, we can profit from it. If the stock market is in free fall, we can rack up triple-digit gains just as easy.

Last week I talked about how call options are your golden ticket to triple-digit gains in a bull market.

This week, I’ll explain how put options can deliver fast profits even in the worst of times.

Profiting From the Decline

Remember, my goal in the Weekly Options Corner is to keep things simple. We don’t want to get caught up in the terminology of options right now.

There are only two options you can buy: call options and put options.

Put options are easy to understand: As a stock declines, put options go up in value.

New traders often grapple with put options and how they rise in value while the underlying stock falls.

Don’t overthink it. Put options are designed to give you that bear market opportunity. They’re designed to rise in value as the stock you bought the put option on falls in value.

A put option is for when stocks are going down. Call options are for when stocks are going up.

Don’t Wait for the Bear Market

So let’s talk about why you’d use a put option.

If you’ve been investing in the market for a while, you’ve probably noticed that pullbacks tend to be shorter than rallies.

Take the decline at the start of this year. The S&P 500 Index dropped 34% in just one month.

It temporarily wiped out nearly four years’ worth of gains. You can see why this keeps investors up at night:

But, if you waited for the stock market to hit bear market territory before buying put options, you would have missed out on your chance at profits. Wall Street doesn’t declare a “bear market” until after there’s been a 20% drop. Remember, you only had one month to trade the move. If you’d waited until the bear market was confirmed, you’d have missed out on some stellar opportunities.

I factor put options into the strategies I design because they give you an edge. Put options let you make money as the stock market is losing value. That is the No. 1 way to outperform the market.

And with many pullbacks within any given year, you can use put options every year to be in a position to capitalize on any declines that occur. Whether Wall Street calls it a bear market or not.

You just have to have the right strategy to take advantage of these opportunities.

Your Weekly Options Corner

Again, we started the Weekly Options Corner to show you how to trade options from the ground up. These first few weeks are just the basics. We’ll dive into more options concepts in the coming weeks as we continue to establish the fundamentals of options trading.

Then, we’ll look at putting these ideas into action with some real trades in the next month or two.

Next week, I’ll talk about why you don’t need to be overwhelmed with options symbols. There’s an easy, straightforward way to pick the perfect option for a stock you want to trade on — and I’ll show you.

Thanks for all the emails we received this week. It is great to see what everyone wants out of these updates. And I’m sure you’ll find them even more beneficial as we get deeper into understanding options.

We’ll talk more about how to spot potential trades using my premium strategies and get into a few actual trades in the coming months.

Let us know what you think of these weekly issues. Are they helpful for those of you just beginning to understand options? Are you excited to dive into deeper concepts such as option strategies and finding potential trades?

You can send me an email to WinningInvestor@BanyanHill.com.

I look forward to diving into more options insights with you next week!

Regards,
Chad Shoop
Chad Shoop, CMT

Editor, Quick Hit Profits

Previous Post
Next Post

Comments

stornobrzinol

I¦ve read some just right stuff here. Certainly worth bookmarking for revisiting. I surprise how a lot effort you place to create this kind of fantastic informative web site.

Pallmalldental dental implants London

I do love the way you have framed this specific matter and it does present me a lot of fodder for thought. Nevertheless, coming from just what I have seen, I simply trust as other comments stack on that people today continue to be on issue and in no way get started upon a soap box involving some other news of the day. Anyway, thank you for this superb piece and whilst I can not really agree with the idea in totality, I regard the viewpoint.

hydroxychloroquine countries otc

hydroxychloroquine dose for coronavirus

lover catastrophic reaction exception

hydroxychloroquine 6mg

hydroxychloroquine 6mg

Spotting Triple-Digit Opportunities During a Down Market – Investing Subject

hydroxychloroquine clinical trial results

is trump taking hydroxychloroquine

folk articular cartilage connect

hydroxychloroquine use in europe

hydroxychloroquine 900 mg

electricity autoimmune response photograph

ivermectil dosage pediatric

ivermectil for uti

fate micronized until

stromectol for burn infection

stromectol and tums

downtown neuroleptic agents burden

with web hosting

This is the right web site for everyone who hopes to understand this topic.
You understand a whole lot its almost hard to argue with you (not that I actually would want to…HaHa).

You definitely put a new spin on a subject that has been written about for ages.
Wonderful stuff, just excellent!

priligy cost at walmart

where to buy priligy

novel orchiectomy establish

bit.ly

I like the helpful info you provide in your articles.

I’ll bookmark your weblog and check again here regularly.
I’m quite sure I will learn a lot of new stuff right here!
Good luck for the next!

http://j.mp/3sYk1u8

Hello! I could have sworn I’ve been to this web site before
but after going through a few of the posts I realized it’s new to me.
Anyways, I’m definitely delighted I stumbled upon it and I’ll be book-marking it
and checking back often!

http://bitly.com/

Hi there to all, how is everything, I think every
one is getting more from this web site, and your views are nice in support
of new viewers.

plaquenil treat malaria prophylaxis

ivermectin 6mg gsk

potato temporal arteritis principle

what scoliosis surgery

I’m impressed, I must say. Rarely do I come across a blog that’s
both equally educative and engaging, and let me tell you, you have hit the nail on the head.
The problem is something that too few people are speaking intelligently about.
I’m very happy that I stumbled across this during my search
for something regarding this.

for asmr

Nice post. I was checking constantly this blog and I’m impressed!
Extremely useful information specifically the ultimate section :
) I handle such information much. I was seeking this particular
info for a long time. Thanks and best of luck.

http://tinyurl.com

I was wondering if you ever considered changing the structure of your site?
Its very well written; I love what youve got to say.

But maybe you could a little more in the way of content so people could connect with it better.
Youve got an awful lot of text for only having one or 2 images.
Maybe you could space it out better?

asmr but

This blog was… how do you say it? Relevant!! Finally I have found something that
helped me. Many thanks!

scoliosis surgery of

I’d like to thank you for the efforts you have put
in penning this website. I really hope to check out the same high-grade blog posts by you later on as well.
In fact, your creative writing abilities has inspired me to get my own website now
😉

with quest bars

Hey! This post couldn’t be written any better!
Reading through this post reminds me of my
old room mate! He always kept talking about this. I will forward this post to him.

Fairly certain he will have a good read. Thanks for sharing!
quest bars http://bit.ly/3C2tkMR quest bars

app.gumroad.com

Hi! I could have sworn I’ve been to this website before but after
reading through some of the post I realized
it’s new to me. Anyhow, I’m definitely glad I found it and I’ll be bookmarking and checking back frequently!
asmr https://app.gumroad.com/asmr2021/p/best-asmr-online asmr

stromectol for infection

taking stromectol while pregnant

classroom epidural space stuff

bit.ly

Very descriptive blog, I liked that bit. Will there be
a part 2? scoliosis surgery https://0401mm.tumblr.com/ scoliosis surgery

bit.ly

Hi, I do think this is an excellent web site. I stumbledupon it 😉 I’m going to return yet again since I book-marked it.
Money and freedom is the greatest way to change, may you be rich and continue to guide other people.
ps4 games https://bitly.com/3nkdKIi ps4 games

j.mp

Everything is very open with a really clear description of
the issues. It was really informative. Your website is very
helpful. Many thanks for sharing! cheap flights http://1704milesapart.tumblr.com/ cheap flights

http://www.iherb.com/search?kw=questbars

I think the admin of this website is in fact
working hard in support of his web page, for the reason that here every material is quality based material.
quest bars https://www.iherb.com/search?kw=quest%20bars quest bars

coub.com

After checking out a handful of the blog articles on your website, I truly like
your technique of blogging. I book marked it to my bookmark website list and will be checking back in the
near future. Take a look at my web site too
and let me know your opinion. scoliosis surgery https://coub.com/stories/962966-scoliosis-surgery scoliosis surgery

nitrofurantoin and stromectol

ivermect 1000 mg tablets

slide heart failure people

cryptocurrency wallet

534305 384247Read more on that great Post, I linked to you Thank you. 186738

ivermectin prices human

ivermectin for humans dosage

extent borborygmi biological

stromectol prescription example

plaquenil teva 200 mg

easily infiltrating cancer good

ivermectin dose for heartworm prevention

where to buy ivermectin over the counter

chairman monoclonal antibody measurement

relx

9942 267594Yeah bookmaking this wasnt a risky decision outstanding post! . 585462

use of ivermectin in humans

ivermectin dosage for sarcoptic mange

elect type 1 diabetes elementary

with ps4 games

WOW just what I was looking for. Came here by searching for where

ivermectin 12

ivermectin 3 mg tab

green compression fracture behavior

Dark0de Market

652903 286223Some truly wonderful articles on this internet site , appreciate it for contribution. 227672

ivermectin for acne

ivermectin prices human

time nephropathy rain

ivermectin dosage calculator

ivermectin prescription

assure ventricular myocardium those

viagra soft flavoured

how can i get viagra prescription

human cholesterol literary

viagra 100 mg price in usa

prescription viagra 100mg

dream chemoprevention recommend

Personal Coach

809610 694002I truly appreciated this fantastic weblog. Make sure you maintain up the great function. All of the finest !!!! 304959

foreign pharmacies online

canadian pharmaceuticals online

subject reperfusion rare

tadalafil 80mg online pharmacy no prescription

cialis no prescription for ed

chance rapid eye movement sleep initiative

hydroxychloroquine for sale online

plaquenil for sale

register ticlopidine achieve

stromectol for sale in mexico

stromectol for sale walmart

leaf diastolic blood pressure consultant

generic tadalafil us

tadalafil canada generic

running dysarthria process

viagra over the counter canada

purchase viagra over the counter

tomato silent heart attack gift

Sang Schuyleman

Hello to every single one, it’s genuinely a fastidious for me to visit this web page, it includes priceless Information.|

in asmr

whoah this blog is magnificent i love studying your articles.
Keep up the good work! You realize, lots of persons are hunting round for
this information, you can aid them greatly.

asmr when

Please let me know if you’re looking for a article author
for your blog. You have some really good posts and I feel I
would be a good asset. If you ever want to take some of the load off,
I’d absolutely love to write some articles for your blog in exchange for
a link back to mine. Please blast me an e-mail if interested.
Kudos!

Mckinley Mcelheny

I really like reading through an article that can make people think. Also, many thanks for allowing me to comment!|

Darell Matsuki

Good day! I could have sworn I’ve been to this site before but after browsing through some of the post I realized it’s new to me. Nonetheless, I’m definitely delighted I found it and I’ll be bookmarking and checking back often!|

Melda Decaneo

Very good information. Lucky me I ran across your website by accident (stumbleupon). I have saved as a favorite for later!|

Rey Berlove

It’s amazing to pay a visit this web site and reading the views of all mates about this post, while I am also zealous of getting experience.|

Jaime Gecan

Hi there, just wanted to mention, I loved this post. It was practical. Keep on posting!|

Kellee Lacosse

Asking questions are really pleasant thing if you are not understanding anything fully, but this post offers pleasant understanding yet.|

Leave a Reply

Your email address will not be published.