with VIX approaching the previous lows that should act as support, a short put position added to a long call will increase the delta and reduce the cost without materially increasing the risk
With the threat of an immediate hike in the federal funds rate off the table equities extended the advance started Monday as the bottom fell out of the US Dollar Index.
As year-end approaches with the major large capitalization indexes nervously near all time highs, we thought an update of current market skew condition could be useful.
Trade selection using volatility as the primary criteria. Different trades for different volatility opportunities.
Trending suggestions for PowerShares DB US Dollar Bullish ETF (UUP) and WisdomTree Japan Hedged Equity ETF (DXJ).
Included in the groups benefiting from lower energy costs are transports such as airlines, railroads, and package delivery that all look overbought.
Crude oil and the entire energy sector sold off ferociously into oversold territory while groups benefitting from lower energy prices broke out to the upside and now appear overbought.
Trade selection using volatility as the primary criteria. Different trades for different volatility opportunities.
large capitalization indexe
Trade selection using volatility as the primary criteria. Different trades for different volatility opportunities.
despite the major index new highs the real story last week was about the continuing strength of the US Dollar and declining crude oil prices
Trade selection using volatility as the primary criteria. Different trades for different volatility opportunities.