Chris, from the USA, has traded for five years, starting with options on large caps in a personal account. He trades large cap stocks, both long and short, targeting outsized moves at resistance or support levels. Using 10 and 15-minute charts for exhaustion signals, he enters on 1-minute charts when divergences appear, negative MACD for shorts, positive for longs. He scales into positions gradually, avoiding full-size entries to manage risk.
In addition, Chris seeks stocks or ETFs with catalysts like earnings or macro events, such as $SOXL’s 4.21% surge on August 7, 2025, driven by semiconductor earnings and bullish options activity.
Tip 1
Negative Divergence Entries
I’m looking for new highs paired with softer relative strength and a negative MACD divergence, signs the move might be running out of steam. For a downside setup, I flip it, I look for new lows with positive divergences, like strengthening momentum, that suggest the selling could be exhausted.
Tip 2
Multiple Setup Factors
I try to look for at least two factors to make a trade, and if there's only one factor in a trade, that kind of leads to a lower risk-reward. The complete setup is not there.
