After a solid session was put in on Thursday, the market gave it up on an abysmal jobs number.
But one down day does not a trend change make.
We've seen a unexpected move in equities as indexes like $QQQ and $IWM are retesting their 52 week highs. The violence of the move left many overprotected or underinvested.
So the psychology we're seeing here is a handful of painful shorts coupled with many looking for a dip to buy to get back into their names.
This is on top of a $SPY options term structure that tells us traders are overprotecting in Sep and Oct options.
Those 2 psychological conditions pretty much sums up the second half of 2010, so should we expect a rally from here? Watch the video to find out.
In this episode of Stocktwits Brunch, we discuss:
- why the $VIX is not giving us all the information in the options market
- how the $FXE options are a great tell for the Eurozone Voodoo
- a simple technical price target for $AAPL
- what stock is a great pairs trade against a short $OIH setup
- why I'm seeing $VRX in my dreams
- how the China momentum names like $SINA $SOHU $DANG and other have momo left
- your individual requests
Not available to watch the live shows? Don’t worry, you can subscribe to get all free IWO videos delivered directly into your inbox. Just fill out this form and we’ll send you videos as they come out.