Optioneering Newsletter

April 15, 2018

Mini Dow Futures Monthly

We trade with the trend and the long-term trend is up. The bears have had
the momentum recently. The pullback is expected to be followed by a
continued bull trend.

The first profit opportunity we will consider this week is in ESPR, or Esperion
Therapeutics, Inc. Esperion is a pharmaceutical company that specializes in
developing and commercializing cost-effective, convenient, once-daily, oral
therapies for the treatment of patients with elevated low-density lipoprotein
cholesterol (LDL-C).
 ESPR Monthly

ESPR went public in 2013. Shortly after going public, the stock price shot up
from the $15-$20 level to $120. After making a high above $120 in 2015,
ESPR fell below $10 in 2016. Since early last year, the bulls have been back in
charge and the trend is up. The next upside target is 100.
 ESPR Daily

It hasn’t been the steadiest move up, but the daily chart definitely shows that
ESPR is in a bull trend. This year the overall trend has been sideways.
Sideways trading in a bull trend usually yields to a further advance.

We are going to review a Call Debit Spread for ESPR.

Traders who want a more leveraged approach could consider buying ESPR
calls. ESPR has options expiring in April, May, June, September, January
2019, and January 2020.
 Buy to Open ESPR May 18th expiration 60-strike Call
Sell to Open ESPR May 18th expiration 75-strike Call

We can see from the Call Option Spread Analysis Calculator that if the ESPR
stock price stays where it is or increases in price when the options expire, the
spread will show a profit of 56.3% or $540. If ESPR is down -2.5% at option
expiration, the spread will make 44% or $423. If ESPR is down -5% when the
options expire, the profit will be 24.3% or $233. If ESPR is down
-7.5% when the options expire, the spread will make a 4.6% or $44 profit.

The next profit opportunity we will review this week is in SOXL, the
Direxion Daily Semiconductor Bull 3X Shares ETF. SOXL seeks to yield
results that correspond to three times the daily performance of the PHLX
(Philadelphia Stock Exchange) Semiconductor Sector Index.
 SOXL Monthly

The monthly chart shows that SOXL hit a new record high last month. New
record highs are bullish.
 SOXL Daily

The daily chart also shows that SOXL hit a new record high last month.
The pullback from last month’s high gives us a new buying opportunity.

We are going to review a Call Debit Spread for SOXL.

Traders who want a more leveraged approach could consider buying SOXL
calls. SOXL has options expiring in April May, June, August, and November.
 Buy to Open SOXL May 18th expiration 130-strike Call
Sell to Open SOXL May 18th expiration 145-strike Call

We can see from the Call Option Spread Analysis Calculator that if the
SOXL ETF price declines by -2.5%, stays the same as it is now, or
increases in price at option expiration, the spread will show a profit of
53.1% or $520. If SOXL is down -5% when the options expire, the profit will
be 33% or $323. If SOXL is down -7.5% when the options expire, the
spread will lose -5.4% or -$53.

The next profit opportunity we are going to review is in UBNT, or Ubiquiti

Networks, Inc. UBNT manufactures wireless data products for enterprise and
wireless broadband providers with primary focus on underserved and
emerging economies.
 UBNT Monthly

The monthly chart shows that UBNT has been in a strong bull trend since
the 2016 low. Right now, it looks like there’s a higher low bottom in place
at the February low. If the bullish setup holds, the next upside target is
above the January high.
 UBNT Daily

The daily chart depicts a normal 3-wave correction from the January high to
the February low. Trading since the February low suggests that the
correction could be over and the uptrend could be resuming.

We are going to review a Call Debit Spread for UBNT.

Traders who want more leverage can buy UBNT calls. UBNT has options
expiring in April, May, June, September, January 2019, and January 2020.
 Buy to Open UBNT May 18th expiration 60-strike Call
Sell to Open UBNT May 18th expiration 70-strike Call

We can see from the Call Option Spread Analysis Calculator that if the UBNT
stock price declines by -2.5%, stays where it is, or increases in price when
the options expire, the spread will show a profit of at least 47.9% or $324. If
UBNT is down -5% when the options expire, the profit will be 21.3% or $144.
If UBNT is down -7.5% when the options expire, the spread will lose -5.2% or
-$35.

The last profit opportunity we will review this week is in TECL. TECL is the
Direxion Daily 3X Bull Technology ETF. TECL seek daily investment results
of 300% of the performance of the Technology Select Sector. The
Technology Select Sector Index is provided by Standard & Poor's and
includes domestic companies from the technology industry.

\
 TECL Monthly

The monthly chart shows that TECL has been going almost straight up since
the 2016 low. A further advance is expected.
 TECL Daily

The daily chart for TECL depicts a very strong bull trend. The current
pullback gives us a new buying opportunity.

We are going to review a Call Debit Spread for TECL.

Traders who want to employ a more leveraged approach can buy TECL
calls. TECL has options expiring in April, May, June, July, and October.
 Buy to Open TECL May 18th expiration 100-strike Call
Sell to Open TECL May 18th expiration 115-strike Call

We can see from the Call Option Spread Analysis Calculator that if the TECL
stock price declines by -2.5%, stays where it is, or increases in price when
the options expire, the spread will show a profit of 38.9% or $420. If TECL is
down -5% when the options expire, the profit will be 13% or $140. If TECL is
down -7.5% when the options expire, the spread will lose -14.3% or -$155.

EARNINGS SEASON: There are four “Earnings Seasons” a year. The

seasons begin in January, April, July, and October and they each last
about two months. The earnings reports can have an impact on the stock
price. We don’t know if the impact is going to be positive or negative (or
nothing at all). It’s up to you to decide if you want to be in a trade when the
earnings report is announced. Here’s a link for a page that can help you
keep track of the report dates:

https://www.earningswhispers.com/calendar

Note: Profit performance displayed in this newsletter does not include transaction
costs.
 This newsletter includes some trading ideas following Chuck Hughes’ trading
strategies along with educational information. For a complete listing of Chuck’s
exact trades, including specific entries and exits and real time Portfolio tracking,
please call Brad at 1- 866-661-5664 or 310-647-5664