{ 0 comments }
From the monthly archives:
July 2009
I think there has been a lot written about the decline in fear in the markets. The CBOE SPX Volatility Index (VIX) peaked above 80 in November and is down 68% to about 25 today. Option premiums have come in tremendously as we have seen the fear of financial Armageddon melt away [...]
{ 0 comments }
After a couple of days of pre-market weakness, the e-mini S&P futures are indicating a stronger open this morning with a last trade of 985. We have not seen any follow-through to the downside so it will be interesting to see if the move higher gains some momentum and pushes the S&P 500 Index [...]
{ 0 comments }
So which do we follow? In China, the Shanghai Index dropped more than 5% today after rallying 7% the last week. Europe generally stands 1% higher today.
It appears we should look toward China as our international guide, as concerns over credit growth slowing and valuations ( the market trades at a 35 [...]
{ 0 comments }
This major search deal, announced this morning, caps a process that seemingly has dragged on for most of our adult lives. The 10-year search partnership is not a purchase, which may be the reason for the 7% decline in Yahoo! (YHOO) shares in pre-market action. This gives Microsoft’s (MSFT) new search engine [...]
{ 0 comments }
Important Considerations for Investors in 3X Leveraged Financial ETFs
Since the reverse split in each of the 3X leveraged financial ETFs, some traders, possibly burned by the loss of value, seem to be betting both will eventually decline much like they did over the first 6 months they were listed.
The [...]
{ 0 comments }
We are seeing large buying in Wells Fargo (WFC) puts today, causing implied volatility levels to increase. My source showed me what is called a put stupid, which is a spread where the trader buys puts and simultaneously buys additional puts. Specifically 50,000 of the August 17.5 puts were bought and 65,000 [...]
{ 0 comments }
If you told me that Microsoft (MSFT), American Express (AXP), and Amazon.com (AMZN) would each disappoint on their earnings and each trade lower by 8 or 9%, I would tell you that the market was probably down 2% or more and looking very ugly!
But the market is holding in there like a champ, [...]
{ 0 comments }
I am hearing from the S&P 500 pit that September premium levels are up this morning as buyers of calls are pushing implieds higher. This is likely a case where we are through the resistance of 956 in the SPX so traders are looking for long exposure to participate in any continued rally BUT [...]
{ 0 comments }
