A lot of chop recently, shake’n’bake yesterday, and fly away today.
Semiconductors (SMH) and Financials (XLF) going higher tends to be bullish for the overall market. Stay with the trend for now.
Speaking of financials, they were a very nice gift today because as I posted yesterday I got long FAS and KRE call options (already sold some).
I also bought IVZ and LM, both financials that will benefit from a flattening yield curve.
DFS just announced a dividend and buyback….expect more financials to follow suit.
TWTR acting like AAPL (i.e. crap), but I am a dreamer.
AMZN also frustrating, but I bought calls that expire in April and May from way lower and am sitting tight.
China names (BIDU, YY, SINA, VIPS, YOKU, QIHU, etc) are not happy right now and so I’m staying away for now. They will be back soon enough, but I’d wait for it.
I bought some ISRG calls today (very speculative).
Sold my NFLX puts two days ago and very glad I did.
FSLR has been an amazing trade this week. I also like SUNE. I did give you heads up about the former when price was still at $62 yesterday.
Chart of the day: FAS: 3x bullish finacials.
Tweet of the day:
Tomorrow is triple (or quadruple) witching and that can bring a lot of odd price swings so trade carefully.
Here is some open interest charts for options that expire tomorrow. It’s from yesterday so it may have changed, but probably not by much since these options have been available for a long time (since they are quarterly’s).
