January 25, 2017 by Dan • Morning Word

I understand the current investor mindset as to why most equities are where they are, and for the most part I agree. I think we are in a cautiously optimistic phase opposed to all out euphoria. But …

Continue reading
January 24, 2017 by Dan • Morning Word

Yesterday in this space we discussed the illusion of massive equity market gains since the Nov 8th election (Alternative Tracks). The reality is that the S&P 500 (SPX) is up a mere 3.5% from the …

Continue reading
January 19, 2017 by riskreversal • Trade Ideas

American Express (AXP) reports Q4 results tonight after the close.  The options market is implying about a 3.8% one day post earnings move, which is shy to its 4 qtr average one day move of …

Continue reading
January 10, 2017 by Dan • Morning Word

Semiconductor stocks were one of the best performing sub-sectors in the S&P 500 (SPX) in 2017. The semiconductor etf SMH was up 37%. Compare that to the Nasdaq Composite, up only 7.5% and the SPX …

Continue reading
December 14, 2016 by riskreversal • Chart of the Day

Shares of General Electric (GE) have spent the better part of 2016 trading in a fairly tight range between $28 and $32, now approaching the upper end: To my eye, a rejection at $32 and …

Continue reading
December 9, 2016 by Dan • Morning Word

Next week the Federal Reserve will raise short term interest rates for only the second time since June 2006, and the first time this year to a range of 50 to 75 basis points.  Financial …

Continue reading
November 30, 2016 by riskreversal • Big Printin'

Highlighting unusual options activity in VIX options can often times be a useless endeavor as a good bit of the volume tends to be rolls, and often they are traded delta neutral vs VIX futures. …

Continue reading
November 11, 2016 by riskreversal • Trade Ideas

In case you missed it, U.S. Treasury yields have been on the rise, with the 10 year at 2.15%, above the dividend yield on the S&P 500 (SPX) for the first time in a long …

Continue reading