VIX Volatility Is Stubborn
The Option Pit VIX Light is Red, and We Expect Volatility to Drop. Hey Traders, The VIX of VIX is called the VVIX. It’s the calculation used to determine VIX pricing … but applied to VIX options. VVIX tells us how expensive it is to buy or sell VIX options. And it is stubbornly high. […]
Trading Lessons from March Madness
Hey Traders, Happy holidays to all my fellow college basketball fans! After a much-needed day off, last night I watched my team, Villanova, take on Winthrop in the first round of March Madness … And it was a little closer than I liked! Anyway, while I intended to enjoy a 24-hour period of total relaxation, […]
Big-Money Trader Sees Boom or Bust for Bank Stocks
Hey Traders, Rising yields and optimism about the post-pandemic reopening have largely boded well for bank stocks lately, with the Financial Select Sector SPDR ETF (XLF) just off multi-year highs. However, at least one customer made about a $2 MILLION bet on a big move for XLF shares in the next couple of months — […]
2 Minute Drill – Bearish Bond Trading Getting too Crowded?
Your browser does not support the video tag.
[Video] 2-Minute Drill: Will Powell Blow It Again??
Hey There Income Hunters, I cannot believe we are in this situation again. Fed Chairman Jerome “J-Pow” Powell, with the weight of the markets on his shoulders, standing on one leg … on top of a banana peel. That’s really the way I feel about this fiasco! The Fed and the Treasury are apparently both […]
Weekly Roundup: New Time, Spring Cleaning & Power Moves
Hey Influence Traders, It’s the weekend, which means it’s time for the Weekly Roundup. It was a BIG Week! K Street and Wall Street both made #PowerMoves. And so did I … On Thursday, Option Pit CEO Mark Sebastian and I did a wide launch of the Power Moves newsletter and Power Moves portfolio. Live […]
By the Numbers: Millennials, Meme Stocks, and Stimulus 3.0
Stimmy Stats Most Americans received their CARES Act stimulus check in April 2020, about a month into the global pandemic/homeschool hell. After subsequent months of partisan politics and a stalemate in Washington, D.C., the second round of stimulus (albeit smaller) went out in early January 2021. You can see the correlating spikes in disposable personal […]
A Bullish Call … Sale!?
Hey Traders, General Electric (Ticker: GE) closed at $14 on Tuesday, off .17 from the day before. That stumble aside, the trend in GE has been almost straight up. Since the beginning of 2021, GE has risen from $10.80 to $14. That’s a gain of 3.20, or nearly 30%, on the year. For a storied […]
The 10-Year Repo Squeeze That Wasn’t
<iframe src=”https://player.vimeo.com/video/520364843″ width=”640″ height=”564″ frameborder=”0″ allow=”autoplay; fullscreen” allowfullscreen></iframe> Hey There Income Hunters, Well the banks tried to pull a fast one — and it failed even harder than the 10-year Treasury debacle this week. The banks also don’t seem to realize that Fed Chairman Jerome Powell is no longer calling the shots … […]
We Have Reached Peak Meme
Hey Traders, It was an incredibly ugly week for “meme” stocks, so-called because Redditors love to create memes around their favorite securities. Here’s an example for Gamestop (Ticker: GME): The punchline is, everyone knows if you sell a winner you’re a miserable quitter … according to the denizens of Reddit, at the very least. While […]