Index Trading

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Now, let’s get into exactly how my K.I.N.G. system works and why it’s crushing the markets month after month, no matter the conditions.

It all starts with finding outsized “Kinetic Movement.” That’s “K” in K.I.N.G. When it comes to trading stocks and options, movement is good. When stock market volatility is high, it means a lot of movement. To make money in the financial markets, we need this outsized kinetic movement.

Now, let’s talk about “Insider Buying and Research,” the “I” in K.I.N.G. This is fairly straightforward. I dig deep —and when I say deep, I mean really deep — looking for specific stocks that have a lot of insider buying activity. If I see insiders like the CEO, the CFO, and the chief marketing officer buying lots of shares of their own company, that’s a good bullish indicator.

For our trades to work, we need a “Near-Term Catalyst” — the “N” in K.I.N.G. Here, I’m looking for an event that could cause the price of those stocks to move up fast and significantly. It could be an upcoming earnings report, a sector related supply chain issue, reopening after a pandemic, a global political event, a rumored merger or acquisition, Elon Musk buying Twitter, or anything in between! This takes up a lot of time and there are a lot of dead ends, but once I’ve identified a near-term catalyst, we’re just one step away from finalizing our trade.

This brings us to our last criterion, “Greater Open Interest” — the “G” in my K.I.N.G. system. Finding the right stock in the right sector with the right momentum and a near-term catalyst we can trade around should bring about some really great returns in stocks, but we’re trading options — and that adds an entirely new wrinkle to the game.

That’s why in addition to time decay, price per share (aka the option contract’s premium), delta, beta, the near-term catalysts, insider info, and kinetic movement, I also need to see outsized “Greater Open Interest” in the option I’m targeting to signal we have the best possible trade in front of us. `

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