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Archive for 2015

Posted by Martin March 18, 2015

FED cleared a path for the market to go higher

The uncertainty has been removed and future is great and bright again. Although it actually is not. But market participants are irrational and many times react the opposite way than any logic or common sense would expect. In the past few weeks, everybody knew that the US economy is slowing down, that it is not Continue reading →

Posted by Martin March 18, 2015

FED frenzy

FED announced that the interest rates hike is unlikely although they removed the word “patient” from their report. The market spiked up in seconds. It went from 2061 to 2080 in a few seconds. I was able to open a bull call spreads expiring tomorrow and next week for this spike as well as one Continue reading →

Posted by Martin March 17, 2015

Quo vadis FED?

Trying to assess where the market would go now is close to impossible. We have FED coming out with their report and the clowns at Wall Street will take their leaf reading witch craft ability to guess what Janet Yellen meant by keeping or removing a word “patient” from their report. Based on that they Continue reading →

Posted by Martin March 16, 2015

Quo vadis SPX?

It is extremely difficult to position a trade in this volatile market. Last week we saw the market holding both key levels – a 2064 resistance and 2040 support. After three weeks of losses in the market it wasn’t clear at all which direction the market wants to go. Would it be up or down? Continue reading →

Posted by Martin March 11, 2015

$SPX bounce play still intact

March 11, 2015 trading brought the market drifting lower. Does it mean the sellers are done with selling or are they getting ready for a new wave of selling? It seems that nothing has changed so far and we still may see some uptrend bounce prior to renewed selling. Unless we see some kind of Continue reading →

Posted by Martin March 10, 2015

$SPX expected move for March 11, 2015: bounce or more sell off by Wall Street clowns?

Irving Kahn, a legendary investor, and student and later coworker of Benjamin Graham, once said about speculators and investors in Wall Street: “… I thought the people were crazy … They were running around and screaming at each other during trading hours, and they were like clowns!” He considered these people evil, destroying the market. Continue reading →

Posted by Martin March 09, 2015

Will the support hold?

As expected, after a violent move last Friday, the market stopped at some significant supports at 2070 level: 50 day moving average lower Bollinger Band previous channel resistance, now support Having three significant supports being met at the same spot seems to be a very strong. But question is – will it hold?     Continue reading →

Posted by Martin March 08, 2015

SPX (un)expected move for March 9, 2015

What a trading last week. I must admit, $SPX tricked me into a trap. If you go back to look at my market expectation from last Sunday I expected the market to fall down and correct the uptrend. This is a picture I originally posted:     From the chart above you can see what Continue reading →

Posted by Martin March 05, 2015

SPX expected move for March 6, 2015

Tomorrow is expiration day for our SPX bull put spread. Today’s trading bought us a little padding for tomorrow, making our trade safer than what it was yesterday for example. Hopefully this relief will help us tomorrow. The market is weak and it stayed around $2100 level the whole day today as investor are expecting Continue reading →

Posted by Martin March 04, 2015

SPX expected move for March 5, 2015

The market outlook doesn’t look good for our bull put spread against SPX. If the selling continues tomorrow with the same magnitude, our strikes will be breached and we will have to roll the trade away in time to give this market more time to consolidate. On Tuesday, there was no reason for selling at Continue reading →