NO EDGE IN A RANGE

The only good take away from where prices sit right now is that you are at the mid-point of this range we’ve been tracking. Wit a bullish bias, there’s a buy in here to take you back to the upper end of the range. If you are a bear, there’s a decent short back to the lows.

The volatility instruments are saying the same. Insurance is pricey now, but the coiling in the VIX says we pop soon. Gold is slowly leaving its range, and the Yen is slowly giving back last nights move.

The Russell, which has been stronger as of late, just gave back a monster move here intra-day. We haven’t seen this type of action in quite awhile, so how it closes today ought to tell a story.

Under the surface, we got some risk on stocks leading, and some set-ups developing on the lower time frame that should create good movement later in the week, or even early next week.

I picked up SPLK calls this morning and watching FDX here.

OA

Last weeks commentary was pretty light. All I’ve really discussed in terms of the market has been that everything is coiling up for a move. Equities, metals, high yield, Yen, Volatility, etc. We haven’t broken these ranges yet, and I think we’ll see a little market upside this week before that happens.

I think its best to continue to view what stocks are getting the action and or volume on days like today. We’ve observed stocks like TWTR and YELP getting some upside love last week, today its the miners, P and more FEYE.

I took gains in FRO today and still have a finger on the trigger to book LULU. I bought shares of IG this morning and I like SPLK, TRUE, FDX and some biotech this week (CELG, SGEN, AMGN).

We’ll touch on these ideas in After Hours with Option Addict. Bring your favorite picks for the week.

OA

Just about everything out there is wound up for the break. Stocks, metals, volatility, and the yen. Again, in a week or so, this will spark a violent move. Until then, be quick to book gains, go easy on fighting trends, and keep overall time frames short.

I think next week will be the opposite of this week. Strength in stocks early and sell off into the end of the week. At that point, We should start getting closer to leaving these ranges.

Stay tuned.

OA

Bought a good stake in this at $3.53.

More later,

OA

We had a decent market plan for this week, which is coming together nicely.

There’s a little more upside from here, and no reason to short this market til we get a little higher in price, and a little cheaper in the $VIX.

I’m about forty cents away from my $LULU target, which for those of you with me loading up on this under $40, this is a huge payout. I might book $FRO here today as well.

I still think there’s another short left in this market a little higher, but the pulse of things is a different behavior that hasn’t been seen in ages. There is money being put to work in risk, and that is an important component in regards to the market getting its momentum back, which was lost for most of last year.

In other words, no need to load up and chase here, but there’s a good chance that there is a dip to buy within 1-2 weeks that will set you up for the year.

I bought WB stock, QIHU, TSLA and GOGO calls…and am about to book one of the biggest wins in the NQ I’ve ever had.

More later,

OA

So, we got the rally…but the pulse is shit.

Same story, XLV, XLU, XLP outperforming. Retail not too bad today and the homebuilders are hot. However, the names holding the relative strength card into weakness, such as TWTR, BABA, etc.. “turded” out today.

I think this carries on for another week until market morale improves, which at this point seems totally impossible.

As for the day, I missed AMBA that we discussed last night, picked up KEG shares, and tried to trade for a break in GPRO but got punched in the face for a quick loss.

I like TSLA into tomorrow, maybe SCTY here as well.

OA