Over the FED and Through the Volatility
The Fed spooks the markets as they announce 2 potential rate hikes in 2023. For better or worse this moved all markets. Let’s dive in…
The Fed spooks the markets as they announce 2 potential rate hikes in 2023. For better or worse this moved all markets. Let’s dive in…
It’s the moment we’ve all been waiting for! The Federal Reserve meeting concludes tomorrow with a typical “Fed Day” announcement that could – and perhaps should – spark volatility across the markets. Know your levels and trades along with any adjustment or management strategy you might need to take before and certainly after Wednesday’s announcement…
The market was higher today and the VIX was higher as well, at the same time, what? In tonight’s video, Brandon describes the very curious situation that the market is currently under and the concern we are facing for future volatility….
Market Update––CPI was HOT the market move was NOT!–Financials took a beating–Tech rallied but not enough to move SP500–Russell gets Meat-loafed! Jay Powell and the FED are Back!–FED meeting/announcement on WED–Bonds once again take center stage–Front week VOL in Bonds elevated— the volatility catalyst Volatility is Transitory!–Dollar – is this bid the turning point?–SKEW – highest print EVER!–VOL – risk is still prevalent Selling Premium in Lower Vol––get a hedge on–use back month premium–reduce neg gamma risk SPX Expected Move –last week– 53.14 (expected move)–next week– 59.53
It was a volatile trading session driven initially by inflation data coming it a big higher than expected. While we initially saw logical price movement in bonds and financials, by the end of the day, it was almost all flipped on its head in reverse and when the dust settled, Crude Oil /CL and the SPX (SPY, /ES) made fresh new highs. What’s the update, what’s the immediate trade, and how are we making sense of this today? Find out in tonight’s video…
If the markets seem quiet to you don’t worry because volatility is coming. Tomorrow morning a much awaited CPI number comes out. Is inflation heating up or cooling off? This will determine the next major move for the stock and bond market. Here’s what you need to know before the binary event…
Looking for the next GME or AMC? Brandon looks at the top shorted stocks combined with unusual options activity to give you a list of stocks that may be the next one to pop…
As the market continues sideway action let’s look at the XLE for the possible next rotation out of. Here’s a risk defined trade idea if it made sense for you…
Market Update––Jobs Number says Goldilocks is Back!–Financials and Energy leading markets–Tech Lags–Vol Crush Bonds Breaking Out?–bonds/rates drive market dynamics–Tech–Financials Skew Continues to Dominate–markets are pricing tail risk–VVIX, hedgers are still prevalent–premium selling spectacular, back months SPX Expected Move–last week– 50.73 (expected move)–next week– 53.14
We are days overdue for a pullback and we finally saw decent sell-side activity this morning, giving profits to patient bears. But beneath the percent loss in the index, more rotation and chop continued as roughly 50% of stocks were bearish (down today) and 50% were bullish (up today). In tonight’s video, Corey digs deeper into today’s market to highlight what we’re watching into next week…
Don Kaufman
TheoTrade co-founder, former CBOE market maker and thinkorswim Chief Derivatives Instructor.
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