The market’s done it again, closing lower on stronger volume. The put call ratio closed the day above 1.0 therefore we are looking for a positive close on the day tomorrow. If you are trading futures and want a great alternative to TT or CQG you can check out Infinity Futures. Happy Cinco de Mayo!
The markets tumble along with the Euro, volume jumps, the VIX spikes, and oil drops. We are looking for volatility to remain higher for “an extended period of time” and this increased volatility is making a great environment for intraday trading, but what to do from here? The TRIN “Trader’s Index” aka. ARMS index, named after Richard Arms is an inverse relationship of market breadth, see this post for the calculation. When the TRIN closes ABOVE 2.0 the market has…
Where we stand on the S&P, roughly halfway between the last swing high and swing low on the daily charts, we are at a great place for putting on positions. For those placing option positions this allows for calls and puts to be bought at a relatively neutral point because we can either breakout to new highs, or break lows and fall down to the next support level. Either way picking relatively strong and relatively weak companies to trade and…
Great buy, or head for the hills? GDP rose 3.2% in the first quarter leading to signs of a growing economy. The Put/Call Ratio closed above 1.0 at 1.06 indicating a high number of puts on the books, theory being do the opposite. Stay tuned for a full market analysis.
It seems as though nothing can keep this market down. The VIX fell back into the teens and the indices ripped back up towards prior highs. Whether we can break these highs or fall short will be crucial. There’s lots of economic news tomorrow including GDP before the bell.
The market rebounds today slightly after yesterday’s decline. We would not be surprised by further downside, however chopping around between these levels and prior highs are more likely for the remainder of the week. Tomorrow we have Jobless Claims and Nat Gas Report, Friday we have GDP before the bell.
Another huge volume day accompanied by a 5 pt jump in the VIX. The noteworthy relationship here is that the last huge volume day occurred on the last big down day (4/16). We have broken immediate trend line support, but we will wait for the FOMC meeting announcement tomorrow to make any major shift in bias to the downside. …and oh yeah, Goldman (GS) closed positive on the day.
This week will produce a sharp move. Expect it. Today we showed larger volume with sideways chop, ending the day with a victory to the bears.