Trade Alert: Re-entering Winners
Bullish bets on two of our previous winners that reappeared in our top names last night.
Re-Entering Winners, Again
All else equal, Portfolio Armor’s algorithm gives an edge to stocks that have recently pulled back—short-term weakness tends to lift their six-month expected returns in our model. This week’s broad market pullback has done just that, pushing two familiar winners back into our Top Ten list, including one we exited for a significant profit last month link. Conveniently, both have upcoming earnings: ideal setups for our harvest implied volatility, define risk approach.
If you’ve followed us for a while, you know we don’t chase price momentum; we let the system re-invite us. As we wrote in How We Re-Enter Winners, when a stock graduates back into our Top Names, that’s our license to re-engage—regardless of how far it’s already come.
It means the algorithm still projects a high six-month return, even after prior gains.
Each of today’s trades applies the same playbook:
System first, opinions second. The re-appearance in our Top Ten is our green light.
Harvest the rich stuff. When options are expensive before earnings, we structure trades to sell some of that implied volatility while keeping risk capped.
Plan the exits. We set Good-’Til-Cancel orders on day one, letting the market hit our targets instead of forcing us to time it.
Full details on today’s Top Names trades are below.
Today’s First Top Names Trade
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