For the second straight opening-trading day of the week, the major averages fell sharply. And why did equities fall, with the Dow Jones Industrial Average (DJIA) falling more than 400 points at its low point of the day? Earnings, earnings and revenues! But here’s something interesting that also happened on Monday and akin to the…
Wall Street was in a rather somber move on Tuesday and coming off of a 3-day weekend. The major averages all fell greater than 1% on the day, led by a near 2% drudging by the tech-heavy Nasdaq (NDQ). What was a little scary from an intraday risk assessment basis was the realization of the…
As the market looks to open sharply lower and on the heels of China’s slowing GDP data released on Sunday night, Finom Group continues to scan the volatility complex and other sectors for daily/weekly trading opportunities. Before we discuss our trading and trade alerts, let’s look at what China announced. China on Monday announced that its…
Welcome to the State of the Market video presentation with Wayne and Seth. Please click on the link to review the video. The video discussion on the markets and market volatility is 65 minutes. Outline: Market volatility, VIX Futures expiration, shorting volatility, backwardation (opening dialogue) 5% contango rule (5 minutes in) Realized market volatility vs.…
Heading into Thursday’s market open on Wall Street we’ve got some good news and some bad news. Firstly, the bad news: U.S. equity futures are down across the board by roughly .5% in the 5:00 a.m. EST hour. Crude oil popped above $52 a barrel on Wednesday, but supply/output was higher than expected and the…
Is optimism creeping back into the market? Are investors signaling that it is “all clear”? Look, I get it, the market has rallied significantly off of the S&P (500) daily closing low of 2,351 and now looks to be stabilizing. Gaining stability, however, is a process that usually consisted of a low-level retest. Take a…
It’s not often that the market allows you to hedge before a significant daily move, but that’s exactly what happened on Monday with the market opening flat to higher and before reversing course. In Finom Group’s weekly research report, we mentioned our desire to hedge against a probable move lower for the current reason, mainly…
The S&P 500 (SPX) weekly expected move was $72/points last week, but it blew past that once again and for the 5th time in the last 10 weeks. The market is proving less efficient here in the 4th quarter than in any of the previous quarters of the calendar year. What does this mean? In…
Thursday’s market activity was more troubling than what the daily chart assumes and when we broaden it out for the full year. While the October daily closing low proved, once again, to provide a floor for the S&P 500, these chart patterns tend to resolve unfavorably over the long run. What we’ve seen since the…
After some alarming headlines on the political front forced U.S. equity markets sharply lower for much of the trading day on Thursday, a late afternoon rally found the major averages slightly lower on the day. Ahead of the G-20 Summit, President Trump discussed with reporters the possibility of easing trade tensions with China. Trump had…
