I’m trying to “crush” this SMCI trade (here’s why)

Markets can move fast, guys and gals.

A stock can be cruising along for days or weeks - and then suddenly the bottom just drops out.

And we’re not just talking about meme stocks here!

When the market turns on a stock from a bad report or negative news, traders get skittish and implied volatility can skyrocket.

If implied volatility spikes, traders expect the price to move significantly in the near future.

Options prices go up.

But… there’s always the risk of “IV crush”.

That’s when the stock doesn’t move as much as expected and volatility goes back down sharply.

Options prices go down, and buyers lose out.

Most traders see IV crush as a bad thing, so they do what they can to avoid it.

Me?

I see big moves in a stock as potential for a trade opportunity.

If I see IV spike but I don’t believe it’ll stay up based on what I can see in the stock, I might take out a bull put spread on it.

When volatility crushes (declines), that position goes up in value.

It’s exactly what I’m doing with SMCI right now.

After a bad financial report and an announcement of a delay in their annual report, SMCI is hitting some lousy headlines in the last 24 hours.

IV has spiked… and the stock collapsed.

Ouch!

But as always, I’m looking for the opportunity.

SMCI is, in my view, not a bad company.

It’s got a strong position in the market, it has close ties to the giant NVDA, and I think this sudden implied volatility will correct itself out.

The market just happens to be emotional, and it overreacts once in a while.

That’s why I took out bull puts on SMCI - to see if I can profit off of the IV crush potential.

I may not be bullish on the stock at the moment, but once the panic subsides, I expect the IV to crash and the bull puts should win.

The great thing is, you don’t need deep pockets to tap into a strategy like this.

I only took out 5 contracts on the trade.

The last time I took out 5 bull put contracts on SMCI, I scored a 10% win and added $180 to my small trading account.

*Trading is hard, results not guaranteed and should not be expected to be replicated typically.

I’ve been taking smaller, more controlled trades all year long in my Small Account Journey.

Want to hear something crazy?

This is my 79th trade in 2024 where I’ve taken out 5 or fewer contracts.

Here’s just a snapshot of how often I’m taking out these smaller positions:

*Trading is hard, results not guaranteed and should not be expected to be replicated typically.

You don’t have to roll the dice every time you trade! In fact, you CAN’T when you have a limited trading account!

And that’s why I focus so heavily on controlling your risk in Small Account Journey.

We try to take advantage of opportunities like the IV crush.

But we also make sure we are not risking it all every time we trade.

By stacking these smaller trades, we can add up profits over time.

I’ve turned this small $2,000 trading account into just shy of $30,000 this year.

And I built that success on the back of small contract trades just like this one in SMCI.

I’m working hard to turn this $2,000 account into $100,000.

Will I make it?

Only traders inside Small Account Journey will get to track my progress… and watch me make every trade in real-time.

It’s the ultimate in real-world, over-the-shoulder trading education.

And as you read this, we’ve got a huge 60% discount on new memberships that is expiring in a little over 48 hours.

This is the best chance to get in here and watch me make these trades - and see if this SMCI trade pans out.

Click HERE to sit alongside me as I trade every day in Small Account Journey… and learn new trading strategies that can help you with your trading account - no matter what size you’re working with.

Eat, sleep, and trade,

Jason Bond

P.S. I want to point out that I cannot speak for my members’ performance, as results may not be typical and trading is HARD. And I cannot guarantee you will make money. But what I can guarantee is that I will work my BUTT OFF to teach you WHY I trade WHAT I trade.