Market Bears are Making a Comeback
A major breach of the expected move today across all the major markets with still 2 more days to go on the week. An over 2 standard deviation move with the biggest market caps still need to report earnings this week like AAPL, GOOGL, and AMZN. This was a great day to sit back and…
COVID-19 Trade Is On... For Now
Another Big Selloff For Small Cap Value COVID-19 trade is on which means large cap growth will outperform small cap value most days. Tuesday was an ok day for large cap tech and another disaster for small cap value. Bad COVID-19 data suggests this will continue, but good vaccine news can change that immediately. It’s…
Shutdowns Are Back As Cases Rise In France and American Midwest
Vaccine Seems So Far Away Later in this article, we will discuss the latest COVID-19 numbers. In this section, let's discuss the lockdowns. Lockdowns appear to be spreading like March. Except for the fact that we don’t have a fiscal stimulus coming. And we know the impact COVID-19 has in the short term on people’s…
Earnings Week: What to Expect from Monsters of Tech
Tech Earnings Preview This is a huge week for the market as over 20% of the S&P 500 market cap and over 45% of the Nasdaq 100 are set to announce earnings this week. That may sound like a lot of companies, but it’s not. Just five companies make up that amount of value! It…
Cisco Systems Price Fades as Call Option Buyers Step In
CSCO Unusual Option Activity Cisco saw its price fall over two percent on Tuesday as it broke its $37.60 support. The high volume selling masked a big day in the options market for the company. The juxtaposition of a falling share price and bullish option interest is an interesting combination as the price marches lower…
Range Trades and Earnings Plays
We're still deep in earnings season and key stocks are reporting earnings and triggering trading opportunities. In tonight's video, Corey updates the latest earnings developments along with some "range fade trade" plays of stock opportunities off range support levels.
Big Monday Decline As COVID-19 Cases Rise
Monday Blues The stock market had a rough Monday, although it did rally solidly off its afternoon low. S&P 500 fell 1.86%. It increased 1.06% from its low at 1:35PM. It’s fairly common to see the market bottom between 2:30 PM and 3:30 PM on big down days, but this bottom was earlier than usual. …
Air Travel Might Be Weakening Again
New Home Sales Actually Miss Estimates The impossible happened. A housing data point missed estimates. New home sales in September fell from 994,000 to 959,000 which significantly missed estimates for 1.016 million and the lowest estimate which was 1 million. Furthermore, the August reading was revised lower from 1.011 million. The chart below shows this is…
Risk Comes Roaring Back
A big move down tagging the lower expected move for the week on a Monday. We took this opportunity roll bearish duration positions. As risk comes back to the market here's what to expect and where the opportunities are...
Wells Fargo Attracts Speculative Bullish Option Interest
WFC Unusual Option Activity Report You wouldn’t typically be thinking bullish thoughts as a company like Wells Fargo & Co (NYSE: WFC) falls 2.75% and is testing its 52-week low. However, these are not exactly normal times and WFC has been a significant underperformer within the banking space. The unique position that it finds itself…