It's been quite a volatile couple of days on the market. All last week, the market traded in a tight range and really didn't do much. On Tuesday afternoon, the profit-taking started to pick up some momentum, spurred by demonstrations in Spain against new austerity measures. We jumped on puts as the market started falling fast, and cashed out nice overnight gains on CMG (+257%) and LNKD (+185%) this morning.
Then, as the market bounced, we did some quick intraday trades on GOOG and AAPL calls. Selling picked up again in the last hour. We went back in on GOOG weekly puts and scored +53% profit in less than an hour!
- 12:44 | Ecstatic Plays GOOG ($750.50) Sold to Close 0928P750 Sep 750 put, at $5.80 +53%
- 12:30 | Ecstatic Plays GOOG ($751.00) Sold to Close 0928P750 Sep 750 put, at $5.40 +42%
- 11:33 | HappyTrading AAPL ($671.80) Sold to Close 0928C670 Sep 670 calls, at $6.60 +14%
- 10:33 | Bagger Vance GOOG ($757.00) Sold to Close 0928C750 Sep 750 calls, at $10.50 +27%
- 07:29 | HappyTrading GOOG ($745.70) Sold to Close 0928P750 Sep 750 put, at $9.20 +15%
- 07:12 | Ecstatic Plays LNKD ($117.70) Sold to Close 0928P120 Sep 120 put, at $2.85 +185%
- 07:00 | HappyTrading CMG ($315.00) Sold to Close 0928P325 Sep 325 put, at $10.00 +257%
The Dow was down 44.04 points; SPX fell 8.27 points; Nasdaq dropped 24.03 points:
USO (oil) continued to fall lower, down 1.21%. OIH (oil services) was down 1.88%. BTK (biotechs) pulled back 0.81%. UNG (natural gas) gained +2.55%. SLV (silver) managed to close in the green, while GLD (gold) was down 0.56%.
SPX fell 8.27 points to close at 1433.32. It closed above its 30-day MA. The MACD went down.
Nasdaq dropped 24.03 points to close at 3093.7. It closed below its daily MAs and the MACD fell.
This market hung on to gains for quite a while. Now, it finally got some profit-taking. SPX tested 1430 today and held above that level. Buyers rushed in the morning, but, selling resumed a bit in the last hour. We'll probably see some bounces tomorrow. More importantly, we'll need to wait and see what Spain will do in seeking bailout. SPX has support at 1420, which will likely hold. VIX has popped above 16 and exceeded 17 intraday today. So, we'll probably see some volatility in the next couple of days, especially these are the last trading days for the quarter.
Good night and HappyTrading! ™