Hey everyone, Robert Roy founder of WealthBuildersHQ.com, coming to you LIVE – well, live for me – on June 24th. This video is for June 25th. Markets just closed up a few minutes. What a great day on the S&P 500. Let’s go check that out first.

So as we look at S&P 500, WOAH!!! Man, to the moon, baby! To the moon! All time highs today on the market, just rockin’ it, rockin’ it, rockin’ it. We are up 24 and a half points on the S&P, crushing it. All time highs, we’re just doing fantastic. So, let’s see what we can find that kind of works around this movement for us.

So the company I want to look at today is Phillip Morris (PM). If we look at PM, first thing we do is look at the Fibs. Here is the V-bottom on the Fib. We’ve got this move up, we’ve got this sideways, rounding, almost-ish pattern. We’ve got a nice, strong push up, a good fail before we take off and finish up right up here.

From there, we pushed up, we tested the zero-line again, we tested it for these two days, we tested again, and we got this great run up to the .136. Nice, that’s exactly what we’re looking for. We came back down again, and came back to the .136. The difference there is, it’s tough to take that intraday unless you get the perfect setup.

Here, we gapped down below the 98.62 level today, and we wound up closing at 99.03. What are we looking for? Tomorrow, either you get a small move to the downside, ideally a retests of the 98.62, or a small move to the upside. Either way, you’ve got to pick your entry; I’m laying out the trade, you determine all the rules behind it for you and your risk profile.

If we take this trade, what are we looking for? If we take two contracts (or more than 1), you’re going to exit the trade at 100. What I don’t have drawn on here is the $100-price point, which of course would overlap [the .136 line]. Major resistance points are $100 levels. There’s a confluence which is why we have 100 as our first target. So, half the trade comes off at 100. The other comes off at 102. So now, if you enter this trade and it goes against you, we have a stop at 97.25, which if you get down there, it takes you out of the trade, however many contracts you have.

If you get target 1 filled, you’re going to move your stop above breakeven. So, even if it pulls back on the second one, it takes you but it’s not costing you anything and you keep the profit from your first exit, and your premium is protected.

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