Last week was a successful trading and investing week. We traded many new options trades and opened new stock positions, trying to take advantage of the selloff in those stocks. I think, long term, these will pay off well. Our NetLiq-cash-buying power ratio is improving, allowing us to accumulate more shares: Our Continue reading →
Making 45% Annually Trading Options Against Dividend Growth Stocks
Archive for October, 2022
10.28.22 – FRIDAY MARKET OUTLOOK
I expected more of the bear trap today because of bad earnings from Google, Amazon, and Microsoft, but not such a ridiculously strong rally. We finished over 3.46% up today. The VIX futures were in contango, pointing to higher markets, so it was obvious that any pullback was temporary. But we had no pullback Continue reading →
10.27.22 – THURSDAY MARKET OUTLOOK
The chart below shows the trend after-hours; as you can see, the market sold off heavily. During the regular hours, we finished down -0.61%, and after hours -1.60%. Thanks to Amazon’s rapid selloff (the stock lost 20% AH). But the VIX is positive and in contango. That gives some hope that we will see Continue reading →
10.26.22 – WEDNESDAY MARKET OUTLOOK
The market erased all gains from today’s session as it faced serious headwinds from the tech earnings misses. Google and Microsoft missed, and everyone sold heavily (I was buying). META reported after-hours and has missed and lost 12% AH so far. In this case, I am not a buyer. Despite these issues, the market Continue reading →
10.25.22 – TUESDAY MARKET OUTLOOK
The market rallied again the entire day today, but this time, we are seeing the VIX futures terms turning bullish too. It has moved from backwardation into contango. This indicates that the traders are either fully hedged or turning bullish. Nevertheless, the path to higher prices is open. We may also experience a short Continue reading →
10.24.22 – MONDAY MARKET OUTLOOK
The market rallied right at the start but then it sold off within an hour. I expected the selling to continue because the VIX was still negative, pointing to traders buying hedges. Right at 10:30 am ET the market turned up again and rallied the rest of the day. Despite VIX still being negative, Continue reading →
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