Option Trading Systems: What Is LVS Going To Do?

Option Trade Setup: LVS

Options trading systems: Part of the reason options trading is so addictive and fun, is that you never know what a stock is going to do. I found an option trade setup and thought we could make a game out of it. it’s called, What Will LVS Do?

Here’s a screenshot of a daily chart on LVS as of midday today. As you can see from the chart, LVS has been trading in a range the last couple months, but with the news today is moving towards the upper resistance level.

Click on the Image to Enlarge

So What Will LVS Do?

Will it hit resistance and drop back into the range, or will it break through and go higher?

If you pick correctly you get the amazing prize of knowing you picked correctly. 🙂

So please post your answer and your thinking as a comment, and maybe we can all learn together about how stocks move and why.

Option Trading System

BTW: do you see the little red button with the -2LMT X in the picture? That’s an order I have entered that has not gotten filled yet. It is a 45/40 Feb Put spread for a credit of .53 – a ten% ROI in about 2 weeks.  That’s a hint as to what I think LVS is going to do.

Don’t forget to check out our blog for awesome trading options tips. Also, please browse our products and training section and learn the art of selling options.


  1. David on February 3, 2011 at 2:59 pm

    stokastics show it over bought plus its at the high end of bolenger bands . I say it is going down.

  2. Aidan M on February 3, 2011 at 3:08 pm

    The line of resistance just above 50.23 has been tested twice. Breaking out above it would be a bullish price move. The question is whether the chart shows that the momentum is sufficient to allow it to do that. The second to the last green bar on the right doesn’t indicate that it has the required momentum, and the green bar to the right of it isn’t yet complete. There is also an absence of increased volume which would add to momentum. Further confirmation is needed before entering a long position. My conclusion, from the available information, is that it will touch resistance again, and bounce back down.

  3. frank bonerigo on February 3, 2011 at 3:10 pm

    Who cares. It’s in a channel so trade it with a straddle.

  4. Tyler on February 3, 2011 at 3:14 pm

    To me it looks like LVS is hitting strong double resistance at $50. There’s also another area of resistance around $52.35 from when it put its top in on high volume on 11/5 and then again on 12/2. There’s a lot of support around $46.65 though and more below at $44.50.

    The volume on this is what concerns me. My guess is a pullback off resistance, but rangebound between $46.65 and $50 until more players start casting votes with their money. Good luck on your spread and thanks for the update!

  5. Bob Young on February 3, 2011 at 3:22 pm

    LVS will hit top resistance and fall back- but not below $45 IN TWO WEEKS. Bob

  6. […] This post was mentioned on Twitter by Allen Sama, Allen Sama. Allen Sama said: Let's have some fun. How well can you read this chart? It's today's daily chart of LVS. Click the link to see the… http://fb.me/R4AGMs8S […]

  7. Neil on February 3, 2011 at 3:24 pm

    Stays in the channel. Very doubtful it would break resistance at 57.

  8. Jason Russell on February 3, 2011 at 3:27 pm

    LVS will continue to go up, next selling point if I owned it would be 53 for half my shares and rest at 64.

  9. walter on February 3, 2011 at 3:32 pm

    Go up by 2 plus %

  10. Fran on February 3, 2011 at 3:35 pm

    touch resistance and fall

  11. conrad on February 3, 2011 at 3:36 pm

    close above resistance level and possibly sloooowly trend higher. IMHO….that’s a good spread trade. Hope you get filled.

  12. mike on February 3, 2011 at 3:39 pm


  13. Michelle on February 3, 2011 at 3:45 pm

    I believe it will break through and go higher.

  14. Kenneth Williamson on February 3, 2011 at 3:45 pm

    I think LVS will not go thru resitance but will continue sideways.

  15. Jim Guidetti on February 3, 2011 at 3:52 pm

    According to the TradeKing probability calculator, there is a 90.55% chance that LVS will finish above 45 and a 17.56 chance that it will touch 45. Also, it has not dropped significantly and has typically increased after earnings. So, I would say that the 40/45 Put spread is a go.

  16. Bill B on February 3, 2011 at 3:54 pm

    I think thaat LVS will break out and go to $60. There seems to be an accending triangle. The bottom line formed by the low of $41.74 onDec 15th and $44 on Jan 25th. The top of the triangle is the $51 resistance line. The difference between$51 and the low of $41.74 = 9.26. Si if LVS breaks $51 we could be looking at a target of $60

  17. Brian on February 3, 2011 at 4:02 pm

    Will break out up and shooting for previous high

  18. Robert Schwenk on February 3, 2011 at 4:06 pm

    I think based on general market conditions related to the Middle East not worsening, the stock should break out to 55 -57

  19. Dave on February 3, 2011 at 4:07 pm

    LVS will break out , quite likely after a retracement to about 46.88 , it has good buying volume behind it but the market could dip and bring it down to the 46.88 support level , give it a couple months for another $10 or so , may be a good idea to write bull put spreads on a dip , ,no buy , sell , or hold , Dave

  20. C. E. Dowalt on February 3, 2011 at 4:09 pm

    I think LVS will fall back in to its trading range.

    There is not enough buying pressure evident in the chart to propel a breakout to the upside.

  21. larri on February 3, 2011 at 5:11 pm

    Will go down. RSI lower. And volume lower each preceding day.

  22. jimmy b on February 3, 2011 at 5:34 pm

    hello kiddies… got in 7-1-10..bought 100 jan 12 22.5 calls for 7.75…my target is 80.00. not to worry,this covette has a reverse gear…jimmy b.

  23. keith on February 3, 2011 at 5:34 pm

    weekly options expiring tomorrow lvs:
    45 puts .18
    46 puts .30

    weekly options expiring tomorrow lvs:
    45 puts .40
    46 puts .58

    what about doing these and selling the calls on the other side naked possibly because the expir is so close.

    couldn’t you get less per option but do this 4 times/month for more return.

    ****LVS has earnings 4:30 today anyway so i’d not do anything at all until tomorrow, and then wait until monday and enter a straddle of some sort

    I made sure nflx and pcln did not have earnings this week and did a one day straddle on both. i did this thurs (today) midday and they just may go down to nothing at beginning of day tomorrow. 1/2 day trade on these.
    nflx at 212 sold 225 calls and 205 puts .30 cents each
    pcln at 437 sold 455 calls and 425 puts .30 cents each
    total of about $1.20 credit .
    we’ll see

  24. barkat a on February 3, 2011 at 6:12 pm

    LVS is in uptrend and ,short of any tragedy, it will probably be in 57-58 area around second week of march

  25. Jerry C on February 3, 2011 at 6:21 pm

    OBV just made a new low, coupled with other overboughts short term. I wouldn’t touch it right now.

    Jerry C

  26. Andy on February 3, 2011 at 7:09 pm
  27. SPYder Man on February 3, 2011 at 7:42 pm

    Hello, I think that it will get hit after their earnings announcement and that you should cancel your spread asap. If hindsight could be foresight this would be much easier!

  28. Lamar Powell on February 3, 2011 at 8:10 pm

    LVS will open down at 47.20 and move a little lower to 46.95 then reverse direction and trend back up towards 55 again.

  29. Jim on February 3, 2011 at 8:52 pm

    LVS is going higher at least 51 and sell off with profit takers as earnings are known.

  30. ed knox on February 3, 2011 at 9:28 pm

    I think LVS will go back down and probably remain in the channel.

  31. Dave on February 3, 2011 at 9:30 pm

    Dipped to exactly the price that I said is the support area at 40.66 in after hours , what are the chances , always happens when I don’t enter the trade LOL

    • Genius on February 3, 2011 at 10:37 pm

      I’m not a technical expert, but I don’t think you can count what happens in the afterhours in your technical analysis. Correct me if I am wrong.

      • Dave on February 4, 2011 at 1:47 am

        I think that the market makers read my post and took it to that exact price just for kicks , hoping for more drop at open to catch a bounce

        • Genius on February 4, 2011 at 12:47 pm

          That would be funny wouldn’t it?

  32. Dan Houser on February 3, 2011 at 9:49 pm

    It will break through and go higher

  33. Jim Ehrhardt on February 3, 2011 at 11:09 pm

    It has been bouncing off of support and resistance for a while now, and I believe it will keep going like that. It is going to go down bouncing off resistance.

  34. walter cashen on February 4, 2011 at 12:23 am

    I’ve been playing deep in the money bull call spreads on LVS since Sept when it started its run up. So far it has come through beautifully on everyone and I bought back several weeks early. It seems to be pretty well on track again as I have the Feb 41/43 call spread. I’m not that much of a beleiver in chart analysis but it has been here three times already and it has pretty good volume so I’m going to hazard a guess that it will go ahead and break out. You can be my guest as to how far it will go. This was a good idea, I really enjoyed all the comments. Thanks

  35. kamal on February 4, 2011 at 1:13 am

    it is going to go down

  36. NunkyTheBull on February 4, 2011 at 4:25 am

    LVS will stay in its current trading range

  37. William D. Ross II on February 4, 2011 at 10:19 am

    I believe the stock will remain between 35 and 58 with a bias to the downside.

  38. Dennis on February 4, 2011 at 11:00 am

    The stock will create a triple top and fall back to support.

  39. Morrill Moorehead on February 4, 2011 at 12:41 pm

    The stock will have a false breakout above resistance, lasting for three to seven days, then it will drop below that level and continue down through the bottom of the range, continuing on down for three or four days before stabilizing. (Hope I’m not too late with my response.)

    • Genius on February 4, 2011 at 12:48 pm

      Wow Morrill, that was pretty specific.

  40. blinkey_dinkey on February 4, 2011 at 12:42 pm

    It will hit resistance and fall back down and stay in range.

  41. Brent on February 4, 2011 at 4:16 pm

    best guess is down – why – haven’t go a clue but find it very interesting that half the responses say its going up while the other half says the opposite

  42. Thomas Wiltse on February 4, 2011 at 9:09 pm


  43. Rob on February 5, 2011 at 3:54 pm

    LVS is a good pattern but like all stocks can be unpredictable. It gaped down and the put spread is severely under water (loss of a 1.00), so what is the fix, do you double up and roll down, add a call spread ?

    • Genius on February 7, 2011 at 12:26 pm


      My spread was sell the 45/40 put spread. Since LVS is now at 46.44 the spread is not in the money yet. I don’t think LVS will trade below 45 at expiration, but if it does, that is fine. I am happy buying the shares at 45. LVS is a long term position for me that I trade around and do strangles and straddles on. So even if I buy the shrares I will sell them back when it gets back to the resistance level.

  44. John on February 6, 2011 at 4:13 pm

    While the stock is currently range bound it is forming a narrowing triangle that I would expect to continue till the end of the month (perhaps into the first half of March). I would then expect to see a breakout to the upside. My upside bias is based solely on the probability of a continuation of the existing uptrend.

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