BY MARK SEBASTIAN
March 25, 2025
Hey Traders,
I thought we would be up on Monday, but boy did Trump put a fire in the market’s pants!
Up over 100 points through the 200 DMA and the 21 DMA without even blinking.
And we have the VIX telling us all is clear:
We are in a nice contango now – VIX is below May Future, May future below June, and so on.
Switching from Backwardation to contango is pretty bullish. I like being long the market this week and have traded as such.
With the VIX still elevated, as good as these long calls are going to be … there’s also a great chance to start making some income using options. Join Hans and Hannah to learn how – click here.
I’m still looking for a super overnight, hoping we open a little bit down on the open after Friday’s explosion. But if we are up, we buy.
Let’s Recap Yesterday’s Trade
No trade for Monday, but we did have the overnight.
There’s no worse feeling than being right and still being wrong.
And that’s what happened – look at the overnight gap:
What a pop! We were near the highs in a few minutes.
…Today’s Outlook
I’m hoping we open slightly down … but I’m expecting the market to rally today, and probably all week. I’ll be looking at a long position for next Friday or Monday.
I will also be strategically placing trades this week. The front half of the month has been rough, but these things tend to even out. And I expect that to happen today.
Call Ted if you aren’t currently a member – 888 872 3301.
Your Only Option,
Mark Sebastian
Mark Sebastian
Founder & CEO, Option Pit
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