Thursday’s Options Alerts
Scuds were found on a North
Korean vessel and also over at Andy Grove’s Intel. Both
stories weighed in on the markets early in day, but the averages were able to
maintain their composure for a second day in a row and finish in the green.
Volume was well below average as the ETFs notched slight gains on
Wednesday.
Besides light volume, it was another day of tight
consolidations within the major indices. It seems buyers and sellers are
scratching their heads for the moment. As mentioned
yesterday, the ETFs are
still in uptrends from their October lows, but without the conviction of
institutional money stepping in at current prices, the technical condition of
the markets is in a fragile state.
We’ve held the 38% Fibonacci retracement level, as well as the 50-Day EMA in the ETFs for the past two days,
but this is where we need institutional support. It’s the big money that has to
acknowledge prices are attractive, by stepping up to the plate at these current
levels and purchasing equities.
The
(
$VIX |
Quote |
Chart |
News |
PowerRating) and the
(
$VXN |
Quote |
Chart |
News |
PowerRating) were for all intents and purposes, flat on the
day. No
fresh CVR Buy signals triggered this evening. In light of today’s lackluster
trade, the best suggestion I can give, rather than an opinion of up or down,
would be to keep doing your homework. Stay prepared and be ready to hop on board
when the Generals do decide to step onto the battlefield once more. Follow their
lead, and you’ll be in good company as there’s no need to rush the other side
without solid backup. Good
luck in your trading.
Points of Significance:
| Volatility Index |
Close | Net Change |
Signals/Direction | % Above/Below 10 Day Moving Average |
Significance |
| VIX | 31.40 | Down -.27 |
No Signals |
3.38% Below |
Not at Extreme |
| VXN | 51.62 | Down -.13 | No Signals |
0.0% Above | Not at Extreme |
Abnormal Options Volume — This list
includes both percentage movers that are normally associated with an increase in
options activity, as well as stocks that have unusually high activity,
reflecting increased speculation of a potential price move.
| Name | Symbol | Net % Change |
Volume | Avg. Volume |
| International Game Technology |
IGT |
-1% | 2854 | 731 |
| Biovail | BVF |
-1% |
5500 | 900 |
Stocks With Spikes in Implied
Volatility — Stocks with Increases and Decreases in implied
volatility compared to previous day. Candidates are then screened qualitatively.
These lists represent those issues that carry a blend of liquidity and/or
technical setups that might deserve further notice.
Spike Up
None Today….system software problem.
Spike Down
None Today….system software problem.
Please use stops on every trade!