Bullish Bursts Strategy

This is a discussion of the "Bullish Bursts" strategy. See the best combination of moving averages and RSI that have outperformed the market over 10-, 5-, 3-, 2-, and 1-year, as well as during the Great Recession with a bullish strategy.

Overview

• Long call
• 1 leg

Bullish Bursts Strategy Settings

Bullish Bursts Open Conditions:

• Stock price crosses up through 10-day EMA
• Stock is above the 200-day SMA
• 50-day SMA is above the stock price
• 20-day RSI is below 70

Details on Options TradeMachine is Selecting for Bullish Bursts Strategy:

• 1x long 40 delta call near 14 days to expiration

Earnings Handling for Bullish Bursts Strategy:

• Never Trade Earnings

Bullish Bursts Close Conditions:

• Gains are above 40%
• Losses are above 60%
• Options reach expiration

Open next trade for Bullish Bursts:

• At Normal Time

Video Transcript