If broader markets are going to continue higher, we've got to expect the banks to participate and even lead. If that's the case, we're limiting our risk and betting on one of the bluest of the Blue Chips breaking into blue skies.

The technical reasons for remaining bullish US Stocks continue to outnumber the bearish reasons. And there are some stocks already getting started on the next leg higher. Though we are in the bullish camp over here, some elevated caution is necessary.

Today's play is one that takes advantage of a well established trend, yet reduces our cost and has an exit in case an inflection point sending stocks the other way develops.

Boeing got hit hard in recent months due to trouble with their planes and a grounding of their 737 Max fleet. But here's the real newsflash that we should be paying attention to: Airlines still need new airplanes because humans still want to fly. Of course, we don't really care what the "news" is about stocks we trade. We just follow price and volume action -- both of which are pointing to an opportunity here.

Markets appear to want to move higher. Regardless of our opinions, regardless of our fears, the only thing worth paying attention to is Price. And prices look higher. Heading into summer, let's go on a trip.

One of the things I harp on here is Best Practices. When I make it a habit to engage in best practices in terms of both strategy selection and position management, I put myself in position to win more often.

Best Practices skews odds in my favor. It keeps me from swimming upstream against volatility currents. It keeps my risk lower. It helps with P/L consistency. And it helps me stick with trades that still have time to play out.

Selling Half is a position management best practice I employ most often when trading straight long calls and long puts. I like to sell half of my position when the value of the position has doubled. It can be very tempting to want to hold your entire position if it quickly runs up and you find yourself sitting on tremendous profits thanks to the leverage inherent in long options. And certainly, there are times when I wished I would've just sat on my hands as I watched a stock continue to fly higher. But for every one of those times I wish I had, there are easily five other times I'm glad I hadn't.

There are a number of great services for options traders out there that offer smart ideas for premium selling, or Iron Condor trading, or earnings trades -- I'm friends with many of the best practitioners. They are fantastic at what they do and I'm happy to name names. Just ask.

Subscribers to All Star Options come to us for option trade ideas which take advantage of directional edges the All Star Charts research team uncovers through exhaustive technical analysis. We are not beholden to any particular type of strategy, options spread, or timeframe. We simply examine each opportunity on a case-by-case basis and make an informed decision on what we feel is a good way to play a particular situation. We might not always end up picking the "best" way to leverage into a opportunity, but we think over time and over many iterations, our good decisions compound favorably.

Due to technical and logistical timezone difficulties with JC traveling in Europe, we are unable to have our usual monthly conference call to run through the broad themes JC is seeing from his unique technical perspectives as well as our usual review of open positions that need action taken ahead of the upcoming expiration.

But have no fear -- we got you!

All Options Premium subscribers will also be invited to attend the next All Star Charts conference call so you can get caught up on the bigger picture in the markets. This Call will be held on Wednesday June 19th at 7PM ET.

We're looking for a "free ride" higher in a media/internet stock that looks set to break out.

The markets are engaging in some sideways chop thanks to whatever headlines we're ignoring. Meanwhile, there are some oversold sectors showing signs of some mean-reversion. And within one of those sectors, we've got a stock setting up with a pretty straight forward reward-to-risk opportunity.

The drama queens have been in full force this weekend coming into the opening of trading this Monday morning. Here was my observation after rolling out of bed:

Geez, I shoulda checked $ES_F before I checked my twitter stream this morning.

FinTwit: THE MARKET IS CRASHING. ARMAGEDDON!!!

Futures: Down 6. Barely a rounding error.

Back to bed.

— Sean McLaughlin, NLD 📈 (@chicagosean) June 3, 2019

I rarely seek to be contrarian simply for the sake of being contrarian, but the mini hysteria I'm sensing amongst market participants feels a little hollow. Is everyone too leveraged? You're not trading based off headlines are you? ...are you??

If so, knock it off. Scared money don't make money.

With the S&P 500 re-acquainting itself with it's 200-day moving average, here's how we're going to play it...

As we head into June Expiration, there are a number of open positions with options expiring in June that may need some attention. Generally speaking as we approach any expiration, it is a Best Practice to begin aggressively weeding out or rolling out positions that aren't working. Why? For long premium plays, unless positions are comfortably in-the-money, theta decay will begin to accelerate and whatever premium is left in our options will quickly disappear. For short premium plays where we haven't yet reached our profit target, gamma becomes our enemy making our position more sensitive to fluctuations of the underlying. A small winner/loser could quickly get away from us. Best to roll it out to the next monthly expiration cycle to buy ourselves more time, or close it down and look for newer/better opportunities.

In no particular order, here are some currently open positions with June options that we'll be looking to take action on next week:

We're tracking a household name that -- with the exception of four wild days during the Christmas nadir -- has been riding it's 200-day moving average quietly higher and is setting up for what could be a big move.