Defensive Issues Strong
Once
again, there
were no meaningful covered option opportunities that set up tonight (Tuesday).
Continue to remain patient until conditions improve.
Even though insurance
(
$IUX.X |
Quote |
Chart |
News |
PowerRating) closed
poorly on Tuesday, it still looks like it has the potential to resume its
longer-term uptrend. Continue to look for buying
opportunities in calls and call spreads here on any resumption of strength..
Consumer non-durables
(
$CMR.X |
Quote |
Chart |
News |
PowerRating),
mentioned recently, is just shy of breakout to new highs. Continue to look for buying
opportunities in calls
and call spreads here.
Healthcare
(
$HCX.X |
Quote |
Chart |
News |
PowerRating) began rallying out
of a pullback/high-level consolidation on Tuesday. Look for buying opportunities
in calls and call spreads here.
Looking Ahead
Due to the oversold nature of most sectors,
there were setups on the short side tonight (Tuesday). If biotech
(
$BTK.X |
Quote |
Chart |
News |
PowerRating)
continues to pullback from lows, it could set up over the next few days.
Best of
luck with your trading on Wednesday!
P.S. Reminder:
Protective stops on every trade!