Cannabis Becomes Big Post-Election Winner
Cannabis New Highs Across the country there was cannabis ballot initiatives that voters had a chance to cast their ballots on. In every instance, the voice of the people opted to expand the use of cannabis in their state. The ballot initiatives include for both recreational use and medicinal use. A good example of the…
Stocks Reach Euphoria As Election Hedges Unwind
Insane Euphoria The stock market reached a euphoric stage on Thursday. On Wednesday, tech dominated the market. On Thursday, small caps joined the fun in what could only be described as extreme euphoria. Election hedges were unwound leading to big gains this month. That's not saying stocks won’t eventually go higher in the next year,…
Labor Market Barely Improves, Plus Fed Meeting Review
Decent Jobless Claims Report All things considered, this was an ok jobless claims report. Continued claims fell more than PEUCs plus extended benefits rose and non-seasonally adjusted initial claims fell. That sounds great but continued claims didn’t fall that much more than those benefits programs. Seasonally adjusted initial claims in the week of October 31st fell…
Post-Election Bullishness and Strong Stock Scan
The 2020 Election is behind us and so is the Fed Day! The only volatile event left this week is the Jobs Report Friday morning. In tonight's video, Corey traces the upward march of the market and highlights some of the strong stocks getting stronger including Google (GOOGL)…
VIX Volatility Spread (VVS) is Now Open
Guide to Using the VIX Volatility Spread (VVS) We had an open house yesterday at TheoTrade and it was great to have so many people join us. It’s nice to give people a look behind the curtain of what we do. If you participated, you saw Don Kaufman walk through a trading strategy called the…
Worst Day Ever For Regional Bank Stocks
Massive Sector Rotation To Tech & Healthcare Presidential & Senate election caused a massive sector rotation. Premise is that there won’t be a tax hike because the GOP won the Senate, but there won’t be a grand stimulus either. That’s perfect for the long bond and tech. It’s terrible for the banks, cyclicals, and value…
Labor Market Inches Towards Bottom of Financial Crisis
Weak November ADP Report Even if the 3rd COVID-19 wave didn’t happen, we’d be seeing some slowing. The economy can’t grow at a double digit pace and create 1 million jobs per month indefinitely. Obviously, we did have a 3rd wave which means there will be some impact this fall. We just don’t know how bad the…
How SKEW’d is the Market Post-Election?
Post-Election SKEW One of the indices that I follow closely is the Cboe SKEW Index (SKEW). For those that actively trade options, the concept of skew is probably not a foreign concept. However, most people aren’t aware that there’s an index that tracks the level of skew for the S&P 500 Index options. Looking at…
A Not so Certain Market Future?
With the uncertainty in this marketplace, due to the election, Don urges us all to take a step back based on a few factors which he covers in today’s video. Listen to Don explain how the Monsters of Tech are in fact holding the marketplace together and what could happen if we start to see…
Big Cyclical Election Day Rally
Huge Election Day Rally The stock market rallied hugely on Tuesday which might be given back on Wednesday depending on how the election goes. It seems like the market started to unwind some of the protection put in place a few weeks ago. That unwind doesn’t make sense now that we know the election was…