The Rotation Game, Market Musical Chairs!
Markets continue to grind higher on light volume. While the monsters of tech are doing nothing capital is rotating into other big NASDAQ stocks like Tesla. Here are the trading ideas Don likes right now…
Risk in Tesla Mounts, is the Rally Over?
Believe it or not this market is actually all about Tesla right now. Here's a trading opportunity in TSLA that I took today that is not for the faint of heart. However, understanding the logic of this trade is how you trade options when there's significant advantage in your favor...
Will Markets Hold it Together Till Year End?
economic picture decayinglack of stimulusunemployment benefits dropping offretail sales?rona numbers exploding/lockdownsmarkets have decoupled from economics What’s hold markets together — Russell, Financials, Energy? My take, this is a dangerous rotation based of buying losers at year end.Monsters of Tech? - underperforming, it’s all Tesla.Upper edge of EM's all over the place!Vol to pick up in…
I’m Yellen Sell the Strong, Buy the Weak
Let's take a look at what's been strong and what's been weak on a year to date basis. These sectors and specific stocks have been surprising. Here's where we see opportunity in the reminder of this shortened week…
Near All-Time Highs and Mountain of Liquidity Risk
Fundamentally Flawed-—Treasury ends emergency lending programs. Fed responds with disappointment.—Renewed economic pressure with lockdowns—unemployment benefits running out—double dip recession risks rise Traders Concentrate Liquidity-—what is concentrated liquidity?---retail sparking Algos—Rock the boat SPX Expected Move--last week-- 82.39 (expected move)--next week-- 67.39
This Selling Feels Different
Most of the tech stocks got whacked back today, but TSLA was masking a lot of the selling. We got bearish financials with the XLF today that immediately worked for us and our members. Watch this video newsletter update to find out why this selling feels different and what to expect next…
Manic Market Monday
Monsters of tech stocks like MSFT, AMZN, GOOGL, AAPL, and FB were the stocks that got us to highs. Now they are not participating. In their place other momentum stocks having be carrying the market up. Stocks like UBER and MU. Here's a way to go on board these momentum stocks in a risk defined…
Rotations, Risk, and Reality Lost
Volatility Compression—explosive moves, lower implied volatility Monsters of Tech— buying opportunity of the beginning of the end? IWM all-time highs— I’m long but risk/reward says get out now! XLF above 26.50 XLE— is energy on the road to recovery? CAT all-time highs-- buy the vol! SPX Expected Move--last week-- 91.54 (expected move)--next week-- 82.39
A Rally Back on Veterans Day
Join Don, on this rally back Veterans Day, as he makes a few detailed points that will help us through the remainder of the week. The S&Ps finished higher as rotations continue to be very much in play. Don takes a deeper look into the financial sector and fully anticipates a pull back and discusses…
If Bearish is Wrong then I Don't want to be Right!
Major rotation that we've been looking for took hold today. Russell 2000 saw a rare limit up and the NASDAQ was substantial down near 1 standard deviation. Where are the opportunities? Select stocks are seeing a "buy volatility" opportunity. Find out more in this video update…