How To Buy The Rumor and Sell the News

What does sell the news mean? Have you ever actually taken the time to ponder that? I know I have not as much as I should. The issue is that some news gets bought…. …Really BOUGHT…. Some news does not. What is the difference between the two? I ask this question because as I write…

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This Happened With A Market Top!

The VVIX which is the VIX for VIX options is approaching its lows since the shut down. Today, on the lows the VVIX almost touched below 110. This is significant because the last time it got this cheap that was a market top. However, this one does feel a touch different… Why?  Because the index…

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Earnings, Earnings, Earnings!!

Heading into Thursday, we have a huge day of earnings. On Thursday afternoon 4 of the ‘Big 5’ report their earnings… AAPL, AMZN, FB, GOOG/GOOGL  all report on Thursday night. This represents about 35% of the NASDAQ 100 reporting in one afternoon. One would think that this would cause the IV of the QQQ to…

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Rare – Market Delivers Punishment

We saw a really interesting trend develop among some of the mega caps last week… …they got punished for good earnings. Take a look at MSFT,  they had great earnings and continue to show massive cloud growth…but the stock got slapped last week. TSLA, the darling of Robinhood and the dread of traditional investors blew…

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Well This is WEIRD (Trade Inside)…

Something has to give! Either the VIX is too cheap… Or the August VIX future is  too expensive…. With a month to go, a 3 point spread between the future and the cash is incredibly wide. At this point, the spread should be below 2, especially with the VIX around 25 and realized volatility closer…

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Am I Day Trading Berkshire?

The big news as Berkshire Hathaway was trading in the 170’s two weeks ago was that AAPL represented about 20% of the value of its holdings… Over half of its stock portfolio at the highs. Or Did it? Was Berkshire being crushed in a completely illogical way? Was its holdings of Burlington Northern Santa Fe, …

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