Good morning, traders…
There’s an age-old debate in the stock market: Which is the better strategy, swing trading or day trading?
The question is misplaced. One isn’t “better” than the other. The answer depends on your personality, trading style, and the setup you’re looking at.
One chart may be perfect for day trading while another is primed for a multi-day swing.
I want you to master both strategies.
Doing so will open the door to a whole world of trading opportunities that less-flexible traders can’t touch.
The key is understanding that there are different strategies for different setups.
That’s why I created my Options Income Trader system to target day trades…
And my OMEN Scanner to target swing trades…
I’m looking for major volume spikes relative to open interest on the scanners.
Not 2-to-1 or 5-to-1. I want 20-to-1 (or higher). That tells me Smart Money traders are loading into the contracts right now.
On Tuesday, we went over my top day trading ideas of the week.
Now, it’s time to look at the other side of the coin…
Here Are My Top 4 Swing Trade Ideas Right Now (Plus 5 Honorable Mentions)…
My 4 Favorite Swing Trade Setups
Apple Inc. (NASDAQ: AAPL)
The Apple chart is in a rare price compression. We’ve only seen a few of these in the past year.
It’s winding up ahead of earnings on July 23. I’m leaning into July 25 $215 calls (two contracts) and then thinking about extending to August 15 $220 calls.
You get earnings-led directional potential, and with Apple trading down near $200 (after a $260 high), it has a good chance of running back toward $240–$250.
Super Micro Computer Inc. (NASDAQ: SMCI)
This former squeezer is building nicely, once again. We’re wedged into a sideways compression around $42.50–47.50.
Smart Money has been flowing into the September $50 calls, and even more aggressively in the September $60 calls. About 1,000 contracts on the $50s, 5,000 of the $60s.
It’s forming a nice “nozzle” consolidation: tight range, lower volatility, with serious potential breakout.
If it clears $47.50, I like the September $60 calls.
Toast Inc. (NYSE: TOST)
TOST is also in compression, but on a shorter timeframe. I’m leaning toward July 18 $45 calls.
It could move quickly, making it a solid short-term swing idea with defined risk.
If it cracks above $46, be ready to go.
Nike, Inc. (NYSE: NKE)
I’m noticing some very unusual flow on NKE…
Big out-of-the-money calls and deeper in-the-money puts hit my scanners ahead of earnings. The company reports today.
I’m lining up July 18 $62 calls. If NKE beats estimates, those contracts could blast off with limited downside.
Summary of Contracts I’m Watching
- AAPL: July 25 $215 calls and August 15 $220 calls
- SMCI: September $60 calls
- TOST: July 18 $45 calls
- NKE: July 18 $62 calls
5 Honorable Mentions
Here are five more honorable mentions showing sturdy technicals and promising setups:
- Rocket Companies, Inc. – The weekly squeeze continues. This still has legs with strong momentum.
- Paramount Global, Inc. – The daily chart is sitting right at its weekly range top with daily compression. Could roll from here.
- Mobileye (MBLY) – 11% pop on Monday, with weekly compression still intact. A volume spike might be confirmation.
- PepsiCo, Inc. (NASDAQ: PEP) – Daily compression at the bottom of its range. Earnings are coming. The setup is poised.
- General Motors Company (NYSE: GM) – Weekly compression between $48–53. Not fast-moving, but has a history of squeeze moves in that range. It’s worth the patience for a mid-term swing.
Each trade has defined risk: if the price breaks a key level, we know why we’re wrong (and our stop-losses are set ahead of time).
And the best part is: you don’t have to babysit these positions every hour of every day. They’re all slower-moving swing trades, perfect for part-time traders.
I’ll be heading out next week to New Hampshire with family for the Fourth of July break. I won’t be on air, but Ethan will keep coverage rolling and monitor these setups closely.
Happy trading,
Ben Sturgill
*Past performance does not indicate future results
