Order Flow and Put Sellers Start Week Off “Strongâ€â€¦
As
the “week after†kicks off its trading session this Monday
morning, options traders and other market professionals are looking for a shift
in the winds from last week’s protracted plunge.
In the options market, where order flow has stagnated, even a gentle
breeze would be welcome to swell investor’s sails.
And indeed the weather god may be out there listening…this morning’s
activity has picked up its pace from recent levels.
Order flow is up
(slightly to be sure), registering a 1.9 on a scale of 1.0 to 10.0, with a 2.1
being the 30-day moving average. Volatility
has come in, due to the stock market’s slight upward move. Overall, call sellers
are leading the pack, but buyers are showing their faces as well today.
Put sellers are looking strong coming out of the gates.
We see some heavy
activity in
(
LU |
Quote |
Chart |
News |
PowerRating), where call buyers are out in force.
(
CNXT |
Quote |
Chart |
News |
PowerRating) pre-bell
call sellers are making their presence’s felt.
Let’s
take a look at our daily numbers…
Pre-open
order volume was moderate today. In the overall market, call sellers led buyers
3:1, and put sellers led buyers 2:1. The
top-five pre-bell order volume leaders today are as follows:
(
CSCO |
Quote |
Chart |
News |
PowerRating),
(
INTC |
Quote |
Chart |
News |
PowerRating),
(
GE |
Quote |
Chart |
News |
PowerRating), (LU) and
(
IBM |
Quote |
Chart |
News |
PowerRating). LU call buyers topped sellers 4:3,
while put sellers trounced buyers 8:1.yes”> IBM call sellers came out in force, leading buyers 4:1.
[AOL|AOL] call sellers beat out buyers 6:1.
First–Hour
order volume remained moderate today. In the overall market, call sellers led
buyers 4:1, and put sellers led buyers 3:2. GE call sellers destroyed buyers
17:1, while put sellers led buyers 6:1. LU
call sellers topped buyers 5:4, while put sellers trounced buyers 6:1.
[WCOM|WCOM]
call sellers dominated buyers 14:1. [AMAT|AMAT]
call sellers came out in force, leading buyers 3:1.
[PFE|PFE]
call sellers beat out buyers 16:1
Recent questions
from my faithful readers have continued to inquire about the upcoming seminar.
Over and over I am hearing: What
topics will you focus on? Should I wait
to take a seminar such as this until the markets have rebounded?
Indeed, why should I even take a seminar such as this now, with the
markets being as they are?
Since I have
described the seminar in detail in previous columns, I shall refrain from
redundancy here. Full details will be disclosed soon with a link on
TradingMarkets.com to the curriculum.
I will only say
that the successful trader adapts to his circumstances.
These circumstances at the moment appear to be that of a bear market,
where sideways movement will end up to be the majority of the price action.
My Chicago seminar will function as an immersion for those desiring to
thrive in markets such as these. I have a
bit of experience in that area.
One feature of the
seminar I have not yet mentioned concerns a promotional special by one of Wall
Street’s notable brokers. I will have those for you tomorrow or Wednesday at
the latest. Suffice it to say that it may save you half of the cost of the
seminar.
As always, we’re
at: tonys@tradingmarkets.com