Expect a turbulent Week

All the major markets were sold-off last week before rising on Friday. There are lot of things happening this week that one needs to be prepared for.

  1. Top of the list is Option expiration for the month of June. This Friday is the last trading day for all equities options. Keep in mind that Thursday is index options expirations day. Check out past postings both on blog as well as forum to find how to play this wonderful opportunity that happens only once a month.
  2. Rest of the week except today is packed with lot of economic data which can move market. Bloomber Economic Calendar Jun 11According to bloomberg Retail sales (Wed, 8:30 ET), PPI (Thu, 8:30ET), CPI (Fri, 8:30ET) and Industrial production (Fri, 9:15ET) will be key market moving indicators. So keep a close eye on these indicators and how market moves accordingly.
  3. Mighty financials/brokers (LEH, GS, BSC) are announcing this week which pretty much set the pace for brokers index. Look out for it and see if you would like to play earnings. One strategy for fairly large moves is backspread that I had covered extensively earlier. Check this out.

Net, expect market to be be full of volatility and keep a close watch on your investments.

Profitable trading, OptionPundit

 


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3 responses to “Expect a turbulent Week”

  1. vlada Avatar

    Hello ,
    LEH was fine today. How do you see the rest of brokerages? What do you think about MS?

    Have a good time,

    Vlada

  2. OptionPundit Avatar

    they shd do good but the prices are already reflected. Unless they beat the “already built in expectation”, I don’t see any huge changes.

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