The Overplay for The Underlay

The past two sessions have had a certain way of knocking me around a bit, but overall you can see what is occurring here.  There are macro currents sloshing around, big callers, big ballers positioning themselves into the end of Q3.  This is big money and it pays to stay out of big moneys way.  Better yet, join them.

Tomorrow morning we hear the monthly NFP data.  This number is one of the primary indicators The Fed is pinning their decisions to, or so they have said in their pressers and meetings.  Thus it appears some positioning ahead of that number is occurring.

The action is fast on the Nasdaq, and that can be a bit intimidating, but what has it done?  We are still in balance up here.  We had two down days after about fifteen up sessions.  And the kicker about today?  Value migrated higher and never followed price. Look at this:

I did very little today.  Less consistently proves to be more in this elevated tape.  I tried a PCLN day trade using some weeklies, it did not bounce as expected and I pulled back some of the premium.  I also bought some FEYE risk, short dated to next week.  The internet is a wild place and your ass is liable to end up on 4chan or reddit unless we all surrender to the might powers at FireEye, Barracuda, Splunk, and other dastardly named companies.

Thus I am long risk elements, without protection into 8:30am tomorrows event.  Anyone who brews popped corn and eats it at such an early hour is unfit to discuss matters of finance with me.  We will be enjoying poached egg in a cup and water.

Hasta manana

http://youtu.be/bkZZo0XSm5s