Risk Reward Trading
Risk Reward Trading Analyzing risk reward is vital for any trader to give themselves the best probability of success. In tonight's video we look at the Nasdaq futures. The market has seen 3 days of the rip your head off short covering rally. Now is their more risk we go down then go up? I…
Sell Options Premium
Sell Options Premium This is a premium sellers dream market. Volatility remains very high and now is the time to sell options premium. Nasdaq divergence continues to play out. We have seen the Nasdaq be the weakest index on down days and not rally as much as the other indexes on up days. EWJ is…
Recession 2016
Recession 2016 More and more evidence of a recession in 2016 seems to be rearing it's ugly head. Bonds are screaming higher which is a tell tale sign that the market is thinking recession. Meanwhile financials are officially in a bear market. I keep watching the implied volatility in the XLF and that tells you…
XLF Volatility Signals Fears
XLF Volatility Signals Fears XLF volatility signals fear is at an extreme. The implied volatility is telling anyone looking to stay away from the long side of this market. It is also telling us is that no longer risk is here, but here to stay. The XLF IV% is over 30% for the foreseeable future.…
Stock Market Divergences
Stock Market Divergences Stock market divergence is taking center stage with the Nasdaq still outperforming the RUT and S&P by a wide margin. Eventually the indexes will have to get back in alignment before the bear market is over. Let's also take a look at the high volatility in the XLF. In tonight's video you'll…
Stock Sell Off
Stock Sell Off As predicted the selling the broader market resumed today with the Bond markets exploding to the upside. Fear is in the air but the volatility index is still not reacting to what has amounted to heavy selling across all sectors and the financials seeing a nearly 3% decline.
GOOGL Earnings
GOOGL Earnings GOOGL earnings makes Google or Alphabet, Inc is the new 800lb gorilla. The largest company by market cap! Can GOOGL lead the markets higher? We will soon see. The risks in this market is vast. Let's go through them one by one tonight.
Selling Premium Weekly Options
Selling Premium Weekly Options Selling Premium in Weekly Options has been what's out there. The SPX last week stayed within the expected move. Ideal for premium sellers. So what to expect next week? I've been watching the SKEW which has dropped off significantly. I'm interpreting this as traders are reloading for the next down move.…
Treasury Notes
Treasury Notes Treasury notes is where a lot of the flight to safety money goes. We will continue to keep an eye on where institutional investors are going to put their money to work. So far bonds are holding strong. Also, tonight we will take a look at a lot of stocks with earnings.
XLF Stock Watch
XLF Stock Watch The market gave up most of the gains from Friday as each rally is met with a new wave of sellers. In a volatile market predictability goes out the window. All I'm doing is selling out of the money premium and that's all I'm recommending right now. The most ominous aspect of…