I just noticed this today, but the CBOE put / call ratio that I follow on Bloomberg hit its lowest level in 2012 yesterday, as many more calls traded relative to puts: It …
Continue readingEvent: GMCR reports their fiscal Q4 after the close tonight. The options market is implying about a 20%* move following the report which is shy to the 4 qtr avg move of about 34%. *(I …
Continue readingAs negotiations start to heat up, many of the previous fiscal cliff trades have been tossed aside. The market feels confident that a deal will be reached, so on to the next trade, right? I …
Continue readingTrade Update Nov. 27th, 2012 at 10:24am: Since buying back the Jan 55 Puts yesterday with the intention of spreading them on weakness, AXP has declined ~2% and I am now going to turn the …
Continue reading2nd Trade Update Nov 27th, 2012 9:32am: Since initiating the first leg of this position on Nov 15th, XLK has rallied nearly 5%, primarily on AAPL’s reversal off of 9 month lows. AAPL’s rally is likely to …
Continue readingMorningWord 11/27/12: RIMM shares have rallied nearly 100% since making new 8 year lows in late Sept. For those who bought the stock near the lows as a “trade”, that’s one heck of a trade, …
Continue readingIn an otherwise relatively quiet overnight session, the Shanghai composite broke down to levels not seen since 2009. Here is the 5 year weekly chart: It’s a very steady 3 year downtrend, eerily …
Continue readingConsumer technology names dominated the options trading today. YHOO – The stock made a brief 2 year high at 19 this morning, quite close to the 3 year high at 19.12. The Jan13 19 calls …
Continue readingUpdate #2, Nov 26th, 2012: We’ve gotten some questions today on the long AAPL Jan13 540 / 580 1×2 call spread that we bought for $3.20 back on Nov 15th. The stock has rallied much …
Continue readingArgentina is close to defaulting on its dollar-denominated debt. Again. It defaulted in 2001, in what was then the largest sovereign default in history (now surpassed by Greece). After a very interesting set of court …
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