Upside Options LLC is a trading advisory newsletter for the retail investor that offers five investment strategies. All of our strategies can be either self-managed or autotraded. When a strategy is autotraded, the trades are auto-executed in your standard cash or IRA brokerage account. For the Pinnacle credit spread and iron condor options strategy, we focus on 2-week in duration credit spreads that typically generate 10% to 16% return in 10 trading days. For our stock picking equity strategies we use a proprietary 4-level scanner comprising technical, fundamental and factor-based quantitative analysis, also known as quantamental analysis. Most of the equity strategies open short hedge trades, which reduces downside exposure. For the equity trades we buy the underlying stock of fundamentally strong companies that have moved into high probability bullish technical setups.
Our Differentiators:
1) Capital preservation is a top priority – For the Iron Condor Pinnacle strategy, we typically allocate 35% of the cash of a portfolio to active trades and maintain 65% cash for trade adjustments when needed.
2) Capital preservation is a top priority – For the stock picking equity strategies we follow well defined exit rules that allow the winners to run, but able to exit positions fast enough to lock in gains and preserve capital during periods of high volatility.
3) When appropriate, we open specialized options-based hedges in most of our equity strategies at a very low cost, which reduces drawdown during market corrections or crashes.
4) We perform sophisticated analysis that blends technical, fundamental and factor-based quantitative analysis, also known as quantamental analysis.
Iron Condor Pinnacle is a non-directional, income generating, all-weather strategy that can generate positive monthly returns in upward trending, downward trending, or sideways and choppy markets. The strategy focuses on two-week in duration credit spreads and iron condors using weekly options on the S&P500 index. Pinnacle is a conservative implementation that typically generates 3% to 5% return monthly, where capital preservation and safety are a top priority.
Large Cap Growth focuses on stocks with a market cap of $10 billion and greater.
Global Sector Rotation ETF is a rules-based, actively managed strategy that identifies high probability, bullish positions on ETFs drawn from 90 industry sectors and country specific indexes. The strategy’s foundation is based on the fact that institutional money rotates from sector to sector and around the globe. This strategy “follows the money”.
Sector Rotation Growth identifies high probability, bullish trades on fast growing companies (individual stocks) that reside in the strongest industry sectors. The strategy’s foundation is based on how institutional money continuously rotates from sector to sector. Our algorithm continuously monitors and ranks 60 industry sectors, and then “follows the money” by identifying the strongest stocks within the strongest sectors.
Small & Mid Cap Growth focuses on stocks with a market cap between $250 million and $10 billion.
Contrarian Strategy identifies stocks that have been out of favor for 6 to 12 months and are starting to recover. The bullish trades are on companies with improving fundamentals and that have moved into high probability bullish technical setups.