Daily Commentary: 1Option

eOption1Option Commentary

Market Will Stabilize – Start Looking For Bullish Put Spreads! As I mentioned in my comments yesterday the market had more work to do on the downside. The reversal Tuesday was nice but it lacked conviction. Political news is dominating the headlines and investors are nervous. Stocks sold off yesterday and the market closed below the 50-day MA. The remedy … Read More

Daily Commentary: 1Option

eOption1Option Commentary

Trump Wants A Healthcare Bill – This Will Delay Tax Cuts – Bearish Yesterday the S&P 500 sold off 20 points on the open. Our market rating had very negative reading on Monday and it was correct. Stocks sold off sharply and they spent the rest of the day recovering. The bounce was nice but it still feels like there … Read More

Daily Commentary: 1Option

eOption1Option Commentary

Market Feels Heavy – Weakness Will Run It Course Soon – Bid Will Grow The market feels heavy and we are seeing two-sided price action. There are plenty of positives and negatives. Volatility will increase during the next two months and the volume will be brisk. Earnings season will begin this week and that is a positive. Corporate profits were … Read More

Daily Commentary: 1Option

eOption1Option Commentary

Market Reversal Wednesday Was A Warning Sign – Selling Pressure Building The market has been very nervous this week and the selling pressure is building. Wednesday’s gangbuster ADP report was not enough to attract buyers. After a big opening rally stocks reversed and they have not been able to recover. That reversal was a warning sign and support at SPY … Read More

Daily Commentary: 1Option

eOption1Option Commentary

Market Reversal Signals Trouble – Focus Is Still On Politics – Downside Will Be Tested Yesterday the market rallied on a strong ADP report. Private payrolls increased by 262,000 during the month of March (much better than expected). Stocks shot higher and the SPY rallied above resistance at $236.50. There were signs of selling pressure early in the day and … Read More

Daily Commentary: 1Option

eOption1Option Commentary

Market Likes Strong Job Growth The market is constantly searching for a piece of news it can latch onto. This morning ADP reported that 263,000 new jobs were created in the private sector in March. This was a very “hot” number and the S&P 500 is up five points before the open. Financials and energy stocks have a strong bid … Read More

Daily Commentary: 1Option

eOption1Option Commentary

Market Drop Should Be Limited Today – Support Is Close and Oil Is Up Yesterday the market drifted lower and it was able to recover some of its gains. Stocks are weak again this morning and support at SPY $235 will be tested. Major economic releases will be the “driver” this week. ISM manufacturing was strong yesterday (57.2) and ISM … Read More

Daily Commentary: 1Option

eOption1Option Commentary

Market Needs Strong Data This Week – Watch Financials and SPY $235 A week ago the market sold off on worries that Trump would not be able to execute his game plan. The healthcare bill never even made it to vote and the GOP is fragmented. Investors are concerned and the S&P 500 dropped 20 points last Monday. Stocks gradually … Read More

Daily Commentary: 1Option

eOption1Option Commentary

Focus Will Shift To Economic Growth Next Week – Good News Is Good News Yesterday the market continued to grind higher. The action was light but positive. Stocks are lower this morning and they should find support. China’s PMI was better than expected and many analysts are raising GDP estimates. Europe and Japan were also solid. Domestic economic activity will … Read More

Daily Commentary: 1Option

eOption1Option Commentary

QQQ Ready To Make An All-time High – Buy Tech Stocks Yesterday the market took a little bit of a breather. It rallied 40 points off of Monday’s low so that should be expected. Stocks inched higher and we saw follow-through. The reversal this week indicates that buyers are still engaged. Trump’s tax reform is on the front burner and … Read More