Real Life Trading Summer Portfolio 2018: Third Edition
Hey family, friends, fan, followers; anything new in your world? How is life? How has your Summer season been thus far?
Believe it or not, Fall starts September 22nd (at least here in the Northern Hemisphere). I just got back from a bucket list item, which was to go big game hunting. I popped up to Boise, Idaho right after the RLT retreat and then drove up into the wilderness and spent time with 3 Real Life Traders, Robert, Kevin and Randy. We did not get an Elk, but we had a stupendous time!
My next vacation will be October 8th - October 14th. Until then, I am your man of the charts. It is going to be an enriching and magical next few weeks!
Speaking of charts, let us discuss what has turned out to be an exciting and hot Summer Portfolio.
Stock #1 Deluxe Corporation Ticker: DLX - Analysis on September 9th, 2018
I am going to keep DLX short and sweet. It has been on our list for the last 3 months and it has been a slow mover.
This was the original put sale which did expire in the money. If you did this put sale, you certainly got put the shares. Which means now you own a solid blue chip stock at 30% cheaper than it was back in January 2018.
Which would now give a trader an opportunity to do this trade.
However, on a long term scale it would be pretty reasonable and comfortable for DLX to trade down here and bounce.
DLX price from the first edition: DOWN $7.37 (11.1%)
Stock #2 Thor Industries Ticker: THO - Analysis on September 9th, 2018
This stock has had a major pullback and it is also trading right around a pretty major fibonacci retracement level as well. The $85 put sale has tons of premium for October and could be a fun one to consider, especially if you are a RV aficionado. Here is that chart. I like this one a lot!
Bottom line, let us see what THO does on earnings.
THO price from the first edition: DOWN $2.84 (2.8%)
Stock #3 Penske Automotive Group, Inc. Ticker: PAG - Analysis on September 9th, 2018
Well, it seems PAG is in the exact same triangle where I left it last time. Here was last months chart. And this is the most recent chart. Last month had a pretty boring and lame bullish high wave candle. Which means PAG could do anything from here, but as it hangs out at this resistance and trades sideways for a while we could be looking at an exceptional long term breakout if PAG really starts rocking in the future.
If you own at least 100 shares, you could consider this covered call. It is certainly not loads of premium, but it is like an extra dividend on this blue chip monster.
PAG price from the first edition: UP $2.04 (4.1%)
Stock #4 Apogee Enterprises, Inc. Ticker: APOG - Analysis on September 9th, 2018
It appears APOG has been a true yawn fest. The good news is for those traders who enjoy practicing and learning more about stop movements, you can see the true progression on this stock.
Since earnings are on September 18th, you would probably want to consider inching up that stop like this.
As traders we could consider to keep an eye out for APOG to throw in a small quick bearish move and possible lower shadow on Monday / Tuesday of the upcoming week. That is because on Thursday APOG had a bullish high wave candle and then Friday the stock closed below Thursdays low and Friday was a new black crow candle, which means it is a black candle that opens and closes below the prior day bullish candles close.
I like finding candles and set ups like this, especially for super quick trades.
The rest of the charts on other time frames appear to be boring to me. Which means, no set up on this one either.
APOG price from the first edition: Down $1.42 (2.8%)
Stock #5 Apple Inc. Ticker: AAPL- Analysis on September 9th, 2018
Look at this Usain Bolt of a stock! Wow! I mean AAPL has been on a tear.
Buying back this covered call was hard but imperative for many traders, since AAPL posted that outrageous gap and go on killah earnings. Back on August 16th, I mentioned this,
Consider buying to close this covered call. I WOULD .... :) And I plan on it. I will not do another covered call this year on AAPL AND IF I DO... I CAN NOT buy to close it…
Since that buy to close of the covered call, AAPL went up another 16.35 points hitting a new all time high of $229.67 on September 5th, 2018.
Just days ago, I posted this bad boy. So far, the timing has been perfect. We will see what continues to play out. Because now the big questions are is this a flag and how far will it pull back? This is the chart I am referring to.
Remember, this is my target on AAPL I posted in just the last write up.
Brutal! That was my August though. Even though many Real Life Traders hit their goal on August, tons of this trading family missed many more Rs by myriads of pennies. HAHA. But that is trading sometimes.
So, what now on AAPL? I am thinking something like this to catch that pullback. But of course, if you simply just want to own AAPL on the long term, you all know I have been mentioning that wonderful idea for many years. The most profitable company in the world right now…it is an idea I like. ;-)
AAPL price from the first edition: UP $33.33 (17.73%)
What is the big takeaway from this seasons full portfolio? Well, if you take the overall average of all 5 positions and stocks, you are looking at a gain of 5.13% over these 3 months. Which is not too shabby AND that does not include any dividends, covered calls or actual trade placements. Just pure and simple buy and hold.
Remember, there is a drastic and often times a magical difference between trading and investing. Timing is everything in both! Patience, growth are outcomes of discipline and risk mitigation! Creating a plan, knowing your goals and moving towards them in an orderly fashion.
Thank you very much for letting me be apart of your life and hopefully enriching it with this information and much more coming in the near future.
If you ever have any questions or need any assistance, just reach out. I am always happy to help. You are amazing! Let us go absolutely crush and dominate September!
~ Jerremy Alexander Newsome
CEO of Real Life Trading and fantasy football novice.