Weekly Raid #56 - The Great Sell
Good Tuesday Morning
Choppy day yesterday, great day for some premium capture so hopefully you all made some green. If not there is always today!
News of the day
Easy news day today, we have JOLTs Job openings at 10 a.m. and that’s about it on the high-importance releases.
Anyone who has been looking for a new career in this current market can attest to how messed up it really is. I have spoken to several recruiters up here in the Northeast and the consensus among them is that companies are keeping positions open, but not filling them to keep the budget line items the same, but not actually have to pay for the position.
That is pretty messed up if you ask me. That being said, I don’t think we see anything crazy in the JOLTs report today, and I can’t see it moving the markets in any meaningful way unless we get a giant miss or beat.
Not much in the way of higher-level analysis today.
There are some reports they Hedge Funds could start selling their equities over the next few weeks, if that’s true we should start to see some movement in equities and options markets.
BREAKING: Hedge funds using computers to trade equities are expecting to start selling to the tune of $20 billion to $30 billion in the next two weeks given retreating stock markets, per UBS.
Don’t forget the options are used oftentimes as a hedge by brokers, so just because you see a ton of volume and OI doesn’t necessarily mean the position is the direction of the contract.
With all the choppy action yesterday, we are hoping for some better trading days today.
GOOG is first up today. Microsoft CEO said that Google basically owns the internet, and they are pretty correct on that. GOOG reclaimed its 50 and is gapping up a bit premarket. I would add this to a swing trade watchlist and potentially sell some bull spreads on it to just let the time work to your advantage.
TSLA is bouncing off its yearly VAH so we are at a decision point there. We have some lower volume below to either act as support or a quick ride down. If it holds as support I would not be surprised to see us back around the recent highs. Straddles wouldn’t be a bad play here.
The last ticker on the day in ENVX. I am watching this for a drop to the upper 10s for a chance to reload and drop my average down under $11. Again this is a long-term play so I am not afraid to just continually add to my pile. The end goal for me is a few thousand shares to trade around.
As always trade well and Good Luck
As always this is all for educational purposes only. You are solely responsible for your trades as I am for mine. Nothing in here should be construed as financial advice, but only educational content about the markets and my particular trading style.