Trade Alert: Pressing Our Advantage
Our Top Names have now more than doubled the performance of SPY since the end of 2022. Time to add a new Top Names trade. Plus, we've got a Market Watchers trade as well.
Time To Press Our Top Names Advantage
Since December 2022, our Top Names have quietly turned into a pretty reliable source of alpha. As of the most recent data from Portfolio Armor’s performance page, across 138 rolling 6-month periods since then, our top ten names have averaged 20.39% over the next six months, versus 10.18% for the S&P 500 Trust (SPY). In other words, our Top Names have more than doubled SPY’s performance over that span.
Today we’re pressing that advantage.
We’re adding a new Top Names trade in a company that sits at the crossroads of analog foundry capacity, specialty process tech, and the ongoing AI hardware build-out. It also meets our tighter 2026 entry rules: RSI in the 40–70 band and a Chartmill setup rating of 6 or higher, so we’re not chasing a blow-off move. On top of that, we’ve set our entry limit at a discount to the options structure’s fair value, so we’re not overpaying for upside in what’s still a choppy tape.
A Market Watchers Trade In Latin America
We’re also taking a swing from our Market Watchers X list.
Latin American resurgence has been a productive theme for us recently. Last month we exited our Chile trade for a solid gain — a 3-leg combo on iShares MSCI Chile ETF that we entered at a net debit of $1.85 in November, then exited in stages (put spread, then half the calls, then the rest) for a 149% profit on premium outlay (70% on max risk), as documented here:
Today’s Market Watchers name sits at the intersection of that Latin America theme and energy—a major regional producer in the middle of a potential multi-year reshaping of both local politics and global energy flows. Like our Top Names trade above, this one passes our tighter entry filters (RSI in the 40–70 zone, strong Chartmill technical and setup scores), and in both cases we’re entering our option structures at a discount to fair value.
Full details on both trades below.
Today’s Top Names Trade
AI hardware / specialty foundry theme
