Up to 4 overnight trades every week? You’ve got to see this!
IBM: Gap Filled — Now Let Time Work
Chart did its job, the clock takes it from here
Two weeks ago, we walked through a simple plan on IBM:
- combine a chart reason – a gap above
- with an options reason – dealer exposure clustered near key strikes
- and let a call debit spread carry the idea with risk capped from day one
Today, the proof is in the pudding: IBM moved through that gap and the trade is well ahead. From here, time decay becomes the quiet tailwind.
Why This Still Matters (Even After The Pop)
A call debit spread has two drivers: price and time.
The chart already did the heavy lifting by filling the gap. Now, with expiration approaching (Oct 17, two Fridays from now), the position can keep improving if price simply holds or drifts in our favor. That’s what we mean by “let theta work.”
How To Handle It
- Mark the calendar. Know your expiration (Oct 17). As you get within the last 7–10 days, theta speeds up.
- Pre-set exits. If you set a good-to-close target (e.g., a round number or a percentage gain), stick to it. Taking partials into strength is perfectly fine.
- No tinkering without a reason. If IBM holds above reclaimed levels on daily closes, fiddling often does more harm than good. Let time and price do their job.
- Know your invalidation. If IBM loses a key reclaimed level on a daily close (not a mid-day wobble) or guidance changes materially, reduce or exit. Cash beats hope.
Bottom line
The IBM idea wasn’t about heroics. It was a clean chart plus a supportive options backdrop, paired with a trade that has known risk and managed by daily closes and a calendar.
That’s a blueprint you can reuse — patiently, with size you can sleep on.
We’re back at it with more trades you can copy:
Click here to watch the whole on-demand replay!
To your prosperity,
The ProsperityPub Team
🎰 Did You Catch This?!
The Last-30-Minutes Scan Alex Uses
Alex Reid laid out how he spots real “sweeps” near the close — clusters of options orders that hit fast, line up with the direction of the tape, and show fresh positioning.
It’s a simple checklist you can copy to avoid chasing random prints and only act when urgency + price agree.
See Alex’s Full Method In Today’s Note!
The pattern turning tiny stock moves into payouts
This repeatable setup kept paying out all through September.
Get The Full Brief Right Here!
Quick hits from Friday’s show
- ACHR win & philosophy: Day trades can pay 20–30%, but bigger moves often come from overnights (with small, defined risk).
- Two live entries: OPEN 10/10 calls around $0.50 and SMCI 10/10 calls around $1.05—clear examples of planning entries and exits up front.
- META lesson: Expensive contracts (hundreds per contract) aren’t beginner-friendly; keep contract costs sane or use a debit spread instead.
- Multi-timeframe check: Alex relies on daily / 10-minute / 3-minute to avoid forcing trades in choppy tape.
- Insider activity = second edge: Tracking executive buys/sells alongside flows can filter out noise.
- Skip the elephants for flow reads: For this specific tactic, he avoids giant ETFs (SPY/QQQ/TLT); there’s too much hedging in the tape.
