ADBE Trade Plan - Week of January 22, 2023

Ticker Trade Plan Strategy & Rules

Welcome to another week of trade plans for tickers outside of SPX.

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Let’s set some baselines here in terms of options selection and some of my past experiences trading individual tickers using similar strategies as we do with intraday plans for the SPX.

1. Monday’s trade plans for individual tickers typically provides the best results - most times I have been able to get to my desired PnL before ending the trade if it was a weekly or swing even

   1. In other words I either under expected the move or made my profit targets too low

   2. As you all know for me it is all about base hits, add to the bank and just continue to take profits which allows me to go stronger in future trades with profits

2. How SPX moves will typically guide most of the tickers we share mainly ones in tech so keep your SPX and these tickers trade plans together in mind

   1. The more correlation - ie tech - has to an index it will most likely guide that way - for example if QQQ is going down most like AAPL, ADBE, MSFT, etc are going down

3. You must trade weeklies - ideally I recommend trading expiry’s 2 weeks out - I have a tested both ways and let me share

   1. I have even selected the next OPEX expiry - typically the 3rd Friday of each month

   2. Playing weeklies on Monday & Tuesday are acceptable

      1. You can also find some nice lottos that have hit as 0DTE trades on Friday, but I always go light and treat it as such - a lotto

   3. Beyond Tuesday you want to play into next week at minimum to at least give your trade a chance to play out

4. Depending on the ticker do not play too far OTM. At max select the first target as the strike and if we get further moves we ride it out then or roll up to the next target

   1. For example, if I am trading ADBE I am not looking to go past 10pts on a strike otherwise strikes further OTM will further decay because their probability to hit that strike to expiry will decrease especially if we get any chop or sideways action - this sometimes leads you to cutting trades sooner than you wanted to and watching it go finally the way you wanted

5. Have an exit plan in the event the trade doesn’t go as expected

   1. This is all on you and your management of your risk appetite

6. We will share updates on the trades if anything major changes to them, but as targets are hit consider them wrapped up and manage your own trades

   1. We will include any updates via X as well so please be sure to subscribe if you haven’t

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