Still Set Up For Puts?
Once
again, there were no meaningful covered calls that set up. If this bounce can
continue, we’ll likely have setups early next week.
Consumer non-durables
(
$CMR.X |
Quote |
Chart |
News |
PowerRating), as
boring as they are, continue to hold well in this vulnerable environment.
Continue to look for buying opportunities in calls and call spreads here.
Major drugs
(
$DRG.X |
Quote |
Chart |
News |
PowerRating), also defensive
issues, held up well in spite of tech trying to steal money away from them on
Friday. Look for buying opportunities in calls and call spreads here.
On the short side, the semis
(
$SOX.X |
Quote |
Chart |
News |
PowerRating),
mentioned Thursday night, couldn’t rally with the rest of tech on Friday. This,
combined with the fact that they couldn’t clear recent resistance (a), suggests
their strong downtrend remains intact. Continue to look for buying opportunities in puts and put spreads here.
Continuing
on the short side, banks
(
$BKX |
Quote |
Chart |
News |
PowerRating) were unable to hold their recent melt up
from lows. This suggests their downtrend remains intact. Look for buying opportunities in puts and put spreads here.
Retail
(
$RLX.X |
Quote |
Chart |
News |
PowerRating) also appears to be stalling out in its recent rally from lows. Look for buying opportunities in puts and put spreads here.
Best
of luck with your trading on Monday!
P.S. Reminder:
Protective stops on every trade!