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 …
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Earlier we highlighted the weakness of a handful of consumer discretionary stocks in the Dow Jones Industrial Average (here): Some of the worst performing stocks in 2016 in the Dow Jones Industrial Average are not …
Continue readingThis: And this: And this: (XRT – S&P Retail etf) On the flipside there’s this: (XLY – S&P Consumer Discretionary etf) But 20% of the XLY is made up of these two stocks, who are eating …
Continue readingGLD – when the etf that tracks the price of gold was $118.76, a trader rolled up and out a bullish view, selling to close 25,000 April 114 calls at 5.70, and buying to open …
Continue readingWe’ve been pretty thematic in our trading the past few months on RiskReversal. Hedge your portfolio (e.g. IWM, SPY, QQQ), avoid anything with strong dollar and international exposure and hide out in treasuries (e.g. TLT), …
Continue readingOn January 6th we targeted the consumer discretionary etf (XLY) for a pullback (read here) as a sort of chicken-shit way to get short exposure on some prior market leaders like AMZN, NFLX, HD, NKE, SBUX. …
Continue readingLooks like we were not the only ones adjusting a bearish leaning position in the consumer discretionary etf, XLY today (read ours here). Shortly before 3pm when the XLY was $73.70 a trader rolled down …
Continue readingLess than a week ago we entered a slightly bearish trade in XLY (consumer discretionary etf) that looked to finance February downside puts by selling the same strike in January (read here). At the time …
Continue readingTo state the obvious, positive returns in U.S. equity markets were hard to come by unless you were invested in a couple dozen large cap growth stocks. And from a trading perspective it was a fool’s …
Continue readingEvent: Tomorrow before the open The Home Depot (HD) will report Q2 results. The options market is implying a 3.3% one day move, which is in line with the 4 qtr avg move. With the …
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