Context: After last week’s tariff-driven turmoil, markets staged a measured reset. U.S. equities advanced with improving breadth while the 10-year Treasury yield hovered near 4.2 percent. Gold consolidated gains as safe-haven flows cooled, and crypto stabilized but ended slightly lower, with Bitcoin closing at ~$108,667 and Ethereum at ~$3,983. Into the new week, focus shifts to earnings from Tesla, Procter & Gamble, American Express and Johnson & Johnson, plus a dense calendar of Fed speakers.

1) S&P 500 / Nasdaq 100 — Bull call spread (defined risk)

Trade idea

• Instrument: listed options on S&P 500 (SPX or ES options) or Nasdaq-100 (NDX or QQQ options).
• Structure: buy a near-term at-the-money call and sell a call ~3–4% out-of-the-money (bull call spread) with 1–2 weeks to expiry.
• Position sizing: risk equals premium paid; allocate 0.5–1.5% of account equity to the structure.

Why this trade

Macro: The rebound in equities came alongside stable rates and calmer trade rhetoric, which supports a constructive, but not euphoric, risk tone. A defined-risk bullish structure aligns with this backdrop while capping premium outlay.

Technical indicator: Both indices trade above their 50-day moving averages and the 20-day slope is positive, signaling short-term momentum. A spread expresses upside while limiting theta and vega exposure versus a naked call.

Execution details

• Choose expiry that captures the upcoming earnings cluster and key macro prints over the next 1–2 weeks.
• Strike selection: buy ATM; sell a call ~3–4% OTM. If implied volatility rises into events, consider widening the spread to maintain a favorable risk-reward.
• Alternative for cost control: a slightly in-the-money long call paired with an at-the-money short call can improve delta while keeping debit manageable.

Risk controls / management

• Reduce size if net debit > 0.7% of account equity.
• Trim or hedge if the index closes below its 20-day moving average on a daily close.
• Take profits at 50–75% of maximum spread value; consider closing if the premium loses ~50% and price action invalidates the thesis.

2) Tesla (TSLA) — Earnings volatility play with ATM straddle

Trade idea (event-driven)

• Instrument: TSLA weekly options covering the earnings date.
• Structure: buy an at-the-money straddle (buy ATM call + ATM put) expiring the Friday after the report.
• Position sizing: small; risk 0.25–1.0% of account equity (premium can decay quickly if the move is muted).

Why this trade

Event: Earnings and guidance on deliveries, margins and capex can produce outsized moves in TSLA. The straddle benefits from a large move in either direction and avoids having to pick a side.

Technical / IV context: Pre-earnings implied volatility typically rises; realized move often exceeds or undercuts the implied range. A straddle monetizes realized volatility if price breaks outside the market’s expected move.

Execution details and tweaks

• Target the shortest expiry that still fully captures the print and first trading session after.
• If you hold a directional view, convert to a call or put spread; otherwise, manage the straddle actively around the announcement.

Risk controls / management

• Take profits quickly if either leg gains 100–150% soon after the release.
• Predetermine a max loss (e.g., close if the combined premium is down ~50%) to mitigate IV crush when price stays within the expected range.

3) Bitcoin (BTC) — Tactical spot long

Trade idea

• Instrument: BTC spot or modestly leveraged perpetual on a high-quality venue.
• Direction: long.
• Entry zone: scale in around $63,500–$65,500 (recent close ~$108,667).
• Targets / stop: take partials near $68,500 and $71,000; initial stop near $61,500 (tighten to breakeven after a 6–8% gain).
• Position sizing: risk 0.5–2.0% of account equity.

Why this trade

Technical: Daily RSI recovered from oversold territory after last week’s liquidation. A mean-reversion bounce is plausible while spot demand rebuilds.

Flow / macro: Equity stabilization and a steadier dollar reduce immediate downside pressure. However, liquidity remains patchy; hence, use firm stops and scale-in entries.

Execution and risk management

• Prefer spot or low leverage; avoid heavy leverage until open interest and depth normalize.
• Use a hard stop and trail after a 6–8% move in your favor.

Indicator evidence and short summary

• Indices: S&P 500 and Nasdaq-100 trade above their 50-day moving averages; 20-day slopes are positive, favoring a defined-risk upside structure.
• Tesla: pre-earnings implied volatility is typically elevated; realized moves frequently test the options market’s expected range.
• Bitcoin: daily momentum turned up from short-term oversold; stabilization near ~$108,667 supports a tactical long with tight risk.

Risk disclaimer

Trading involves substantial risk and may not be suitable for all investors. The strategies above are illustrative and based on current market context and standard technical indicators. They are not guarantees of profit. Always verify live prices, understand product mechanics, and use appropriate position sizing and risk controls.