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The S&P 500 ETF (SPY) finished the first quarter with a gain nearly reaching a double-digit percentages, and has entered a prolonged overbought phase, paralleled only by a similar stretch in February 2018 and April 1998. Thursday marked the 50th day the index has hovered above one standard deviation from its 50-day moving average, with most sectors now in overbought territory. In contrast, the Technology sector has surprisingly underperformed, shedding 0.85% in the past week and putting its year-long relative strength to the test. Despite this, market breadth remains robust, with the S&P 500's advance-decline line reaching new heights and over 80% of stocks surpassing their 200- and 50-day moving averages, underscoring a broadly optimistic market sentiment. This week we are going with a neutral double diagonal on Rost Stores (ROST) and a bull call spread on Mondelez International (MDLZ). Read More

As markets will be taking a brief hiatus tomorrow, today presents us with the opportune moment to strategically roll our position in Electronic Arts (EA). Wishing everyone a splendid holiday weekend ahead! Read More

Last week's market saw the S&P 500 gain 1.3%, reflecting cautious optimism among investors. The Federal Reserve hinted at slowing the pace of quantitative tightening, a move signaling a shift towards more accommodative policy, which could be favorable for markets. Globally, central banks showed diverging paths, with the Swiss National Bank cutting rates, while the Bank of Japan increased rates for the first time in 17 years, highlighting varied responses to economic conditions​. This week we are going with a double diagonal on T-Mobile (TMUS) and a bull call spread on Celanese (CE). Read More

Micron Technology (MU) recently announced its earnings ahead of the projected schedule, triggering a significant surge in stock value. This unexpected move adversely impacted our double diagonal trade. We are adjusting our position to mitigate this and enhance the potential for profitability. Read More

Last week, the leading stock indices once again saw modest declines: the S&P 500 ETF (SPY) slipped by 0.06%, the Dow 30 ETF (DIA) edged down by 0.01%, and the Nasdaq 100 ETF (QQQ) dropped by 1.16%. Notably, the S&P 500 reached a new peak on Tuesday before retreating by the week's close. Currently, at 517 trading days, this bull market aligns with the median duration, contrasting with the average span of 1,011 days. Despite a 44.7% surge, this bull's performance is still shy of the median 76.7% gain and far from the average 114.4% gain. Historical trends suggest there's ample potential for further growth. This week we are going with a neutral double diagonal on Phillips 66 (PSX) and a bull call spread on American Tower (AMT). Read More

The three primary stock market indices experienced minor declines last week: the S&P 500 ETF (SPY) dipped by 0.11%, the Dow 30 ETF (DIA) fell by 0.74%, and the Nasdaq 100 ETF (QQQ) saw a reduction of 1.36%. These slight downturns follow a period of sustained gains across these indices. This week we are going with a neutral double diagonal on Amazon.com (AMZN) and a bull call spread on McDonald's (MCD). Read More