General Options Blog

Closing Thoughts

Today started much like the previous ten previous sessions.  The market looked weak at the open with S&P500 futures over .6% lower overnight.  That weakness was nothing more than the salad course for these market bulls.  The pasta course came soon there after and market weakness was once again turned into a raging buying frenzy.

but then something happened.  Something we haven't seen during this massive reversal from the Icahn "DANGER AHEAD" lows.  The market started to sell off.

Prices fell into the close with the S&P500 closing just off session lows.  After the bell weak earning reports from both $INTC and $JPM helped take stock futures even lower.

Keep Reading

Tuesday Leaf Blower

 

A pile of leaves, in the form of a massive two week stock market rally, has concealed a road with many cracks.  Cracks that may continue to widen.  Are we out of the woods yet?  Or is this market setting up for a nasty fall?

Yesterday the stock market continued its strong showing, posting a modest gain at the closing bell.  The overnight session, however, has seen those gains evaporate and turn into losses.

We are nearing key support levels, the first being the 2,000 S&P500 futures figure that held on Friday.  Next up is the resistance that was capping the recovery from the August crash.

Keep Reading