HI Financial Services Mid-Week Commentary 07-07-2015
Volatility is King and a killer – Kevin Hurley
It has been tough being in a headline risk market environment. Kind ‘a nice to have volatility help both sides of the options on the stokc. The protective put strategy made a NET +$0.215 on a three dollar drop on BIDU and the calls we sold also lost -$0.10. A net $0.315 or 10% on the loss of $3 on the stock. Pretty cool to make money on a stock down $3 for the day.
What’s happening this week and why?
It is all about Greece and we really have no rational market direction at this time.
Where will our market end this week?
Nobody knows so I’m not going to even guess
DJIA – Technically bearish but we held the 200 SMA. Watch that level to hold as support
SPX – Bounce below the 200SMA but it held so we are also watching that important level.
COMP – 100 SMA is holding and technically bearish also
Where Will the SPX end July 2015?
07-07-2015 I think the 2% I expected last month will come this month due to earnings and lower oil
What is on tap for the rest of the week?=
Wed: AA, WDFC
Tues: Trade Balance, JOLTS, Consumer Credit
Wed: MBA, FOMC Minutes
Thur: Initial Claims, Continuing Claims,
Fri: Wholesale Inventories
Tues – DE:GB: Industrial Production
Wed – CH: PPI, CPI
Thursday – JP: PPI, GB: BOE Announcement
Friday – FR: Industrial Production
Sunday – CN: Merchandise Trade Balance
How I am looking to trade?
I am preparing for earnings and started two weeks ago. The need to protect for a vacation came at a great time for the Greece and China market drops.
www.myhurleyinvestment.com = Blogsite
Article Links can be followed by being a Twitter follower @kevinmhurley