When Will Market Horror Show End?
The binary event is upon us: --volatility is BID --vol skew has shifted --all smoke and mirrors or is a real move coming? --pullback may feel huge but come on... we are back to levels from a few weeks ago... Gravity Points are back! --unfinished business at 3211 --we head under 3211 we get UGLY…
Big Tech Earnings Crash The Nasdaq
Thursday Calm Before The Storm The stock market rallied nicely on Thursday as both the S&P 500 and the Russell 2000 rose 1.19%. Plus, the Nasdaq rose 1.64%. Tech stocks rose into earnings. Twitter, Apple, Facebook, Amazon, and Alphabet all reported after the close. They all fell after their earnings reports after hours except Alphabet. …
Another Good Jobless Claims Report
Solid Jobless Claims Report Again Even with all the COVID-19 mania and fears of a slowdown, the jobless claims report in the week of October 24th was good again. That’s 2 good weeks in a row. Seasonally adjusted initial claims fell from 791,000 to 751,000 which was below estimates for 758,000 and just 1,000 above the…
XLE Option Bottom Feeders Get Fed on Thursday
XLE Unusual Option Activity Report As the stock market was reeling into the close on Wednesday, a big fish entered the waters of XLE and took a large bite. That bit was a significant amount of option long call option contracts betting on a big move. The initial stages of a bullish move appeared on…
Is It Too Late to Hedge Your Portfolio Risk?
To Hedge or Not to Hedge A lot of questions from our subscribers came in yesterday about how to hedge and whether they were too late to do it. It’s pretty typical for investors to think about hedging as the sell-off is occurring or after its over. One of the important points to make about…
Today's the Big One! Tech Earnings in Play
We're still in earnings season and this may be the biggest day yet. Apple (AAPL), Amazon (AMZN), Google (GOOGL), Facebook (FB) and more reported earnings after the bell today and Corey walks you through a flash update before tomorrow's trading day. What levels are in play for earnings butterfly trades and possible intraday reversal trades…
Investors Fear Renewed COVID-19 Outbreak
Brutal Correction On Wednesday Fear of COVID-19 exploding and new shutdowns finally got to the market as there was a major correction on Wednesday. S&P 500 crashed 3.53%. There was across the board selling. It was less of a factor day and more of a panic day. Microsoft’s earnings related decline took down the Nasdaq…
Is The Economy Set To Tank In November?
Worries Are Here Even though firms literally just reported great earnings this week, worries are back because traders believe Q3 is meaningless now that the economy is worsening. That’s true to an extent. The economy will be in worse shape in November because of COVID-19. A difference between investor fears and these earnings reports is…
Hasbro, Inc (NASDAQ: HAS) Sees Surge in Long Put Activity
HAS Unusual Option Activity Report Hasbro’s share price fell 9.3% following the company’s earnings report on Monday before the market open. The price has been searching for support the past couple days, but Wednesday’s option activity is pointing to additional downside. HAS Seasonality In a statement on Tuesday, Hasbro CEO is optimistic about the company’s…
What does the VIX say about an S&P 500 Bottom?
S&P 500 Bottoming is a Process The S&P 500 has been searching for a tradable bottom since the sell-off following its September 2, 2020 high. The best way to describe the price action since that point has been “listless.” Without the drivers of stimulus and Federal Reserve policy easing, stocks have failed to find adequate…