XLF Stock Watch
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The market gave up most of the gains from Friday as each rally is met with a new wave of sellers. In a volatile market predictability goes out the window. All I’m doing is selling out of the money premium and that’s all I’m recommending right now. The most ominous aspect of the market I’m watching is the financials. Yes, they are taking a bigger hit than the rest of the market. However, what is really concerning is the implied volatility in the XLF. There is some underlying risk that is being displayed by the XLF. The question has to be asked why are the financials have such a significant more risk than the S&P or even tech.
