Good morning, traders…
Jeff here.
After weeks of bad news, we finally got some good news…
Both the Producer Price Index (PPI) and the Consumer Price Index (CPI) came in cooler than expected, and the Nasdaq skyrocketed 2.3% on Wednesday in response.
So, that’s a relief for bulls. But I wouldn’t say we’re out of the woods yet.
And no matter how you look at it, these swings can be overwhelming for less-experienced traders.
This market might be all over the place, and it might seem difficult to trade…
But if you use the right tools and plan every trade meticulously — you’ll see, this can be a very profitable environment for options.
Take a look at my 2025 track record (so far) for my Burn Notice trades:
While speculators across the world have been blowing up in the face of this volatility, I’m on a 7-win run…
I don’t say this to brag — I say it to:
- Show you what’s possible with discipline and consistency…
- Prove there are still tons of ways to profit, even when the market seems choppy…
Now, I want to step back and analyze what’s been working, why, and how I plan to keep the hot streak going…
Shrinking the Game
When the market is higher-volatility, less predictable, more risk-off — it’s crucial to shrink the game.
Smaller position sizes, shorter holding times, and more discerning trade selection.
More than anything, this has been a big key to my success over the past two weeks.
Had I been slapping big size on, it might’ve messed with my mindset…
Instead, I’m keeping my bets small, so I’m not miserable if they don’t work.
Because even though my bets have been working, they just as easily could’ve gone the other way.
The same goes for expiration dates. Don’t enter multi-month, esoteric swing trades right now.
This macro environment has too much uncertainty, and we have no idea where sentiment will be in a week, much yet several months.
That’s why Burn Notice setups have been working so well. Overnight options swings have a much higher probability of success in this tape.
Sticking to My Proven Tools
Ever since December 18, when the market tanked following Jerome Powell’s comments, we’ve been in a new market regime…
The VIX has been in an uptrend after a long period of languishing in the low teens, signaling a big paradigm shift.
Everyone can feel it. The bears have come out of hibernation.
And when this happens, some traders try to be heroic market prognosticators…
They start straying from their battle-tested strategies and trading 0DTE SPY puts, or something equally risky…
They might get lucky, they might not. The point is, they’re not really trading an actual strategy. Instead, they’re knee-jerk reacting to broad market moves, which can be a recipe for disaster.
I don’t do this. Sure, I make a few adjustments, and I might hedge some positions with weekly puts.
But I don’t completely alter my strategy just because there’s extra volatility.
Rather, I’ve spent 27 years designing tools and strategies that thrive in both low- and high-volatility environments.
Like my Burn Notice and GAMMA Code systems…
And that presents a unique advantage — a verifiable edge — when the rest of the market is scrambling.
The Hard Truth About Experience
Ultimately, some of this comes down to raw experience…
Like I said, I’ve spent nearly three decades doing nothing but thinking about the stock market.
(Don’t get me wrong, I have a life, a beautiful wife, and three amazing kids…)
But I’ve spent more time analyzing, considering, and trading the markets than doing anything else.
And that experience creates a sort of intangible ability to read the tape, identify moves, and gauge market sentiment.
When I think back to my first few years of trading on Wall Street, I wasn’t 1/100 of the trader I am today.
If that version of me was trading right now, I probably would’ve blown my account up over the past few weeks.
But the 2025 version of me did the opposite because I have something that can’t really be taught — time in the markets.
You might be new to trading, and this market might be jarring. That’s okay.
Full circle, this goes back to my first piece of advice — it’s all about trading small positions here.
Furthermore, there’s nothing wrong with sitting on the sidelines until you find a great setup. Patience is money.
Wednesday’s rally was pretty strong, and maybe that means the hard part is over. We might be heading into a pre-inauguration period with less volatility.
But whether the volatility is high or low, the market is up or down, the sentiment is negative or positive…
My Burn Notice and GAMMA Code systems have proven they can work under any market conditions.
Stick to what works.
Happy trading,
Jeff Zananiri
P.S. Speaking of sticking to what works…
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*Past performance does not indicate future results