Sellers of covered calls seek two objectives: additional income from their stock portfolio and protection from a market decline in the price of their stocks. The call premium helps the option writer to achieve these goals. With the covered call
January 28, 2018
Another firm round of gains across all markets kept things buoyant. The Dow managed a fresh breakout from channel resistance on higher volume accumulation. This has the look of yet another channel acceleration as the chance for a parabolic blowout
The bulls remain in clear control of this market as the impressive rally continues unchecked. There are a few important things to note: The market is extremely extended. It refuses to fall. In fact, pullbacks last a few hours, not
A person or fund has been making enormous bets on VIX calls priced near 50 cents. The CALL volume spiked again Friday. Bloomberg reports ‘50 Cent’ Is Buying Up Big on March VIX Calls. Trading patterns associated with the
When a reader recently quoted me from a four-year-old post, I realized I needed to update a few of them. I’ve learned some things in the past few years and, like many of us who research retirement finance, my thinking
In my 2017 Market Wrap-Up post, I referenced major support (200) and resistance (280) as levels worth monitoring on the SPX:VIX ratio, on a monthly timeframe. The following updated monthly chart of the SPX:VIX ratio reveals a few interesting things: All of
McDonald’s Corp. (MCD – Free Report) is set to report its fourth-quarter 2017 numbers on Jan 30, before the bell. Last quarter, the company pulled off a positive earnings surprise of 0.57%. In fact, McDonald’s earnings surpassed the Zacks Consensus
I’m not sure what exactly Klaas Knot (he’s president of the Dutch Central Bank) was trying to accomplish on Sunday by reiterating an aggressively hawkish message, but it seems to me that in light of recent events, this is not the time to
It is safe to say that one of the most popular, and important, charts of 2017, was the one showing the ongoing and projected decline across central bank assets, which from a record expansion of over $2 trillion in early
Take a look at three trading ideas to prep you for the next trading session. Long Emerson Electric (EMR) Long DXC Technology (DXC) Short EnCana (ECA)
