tradeMONSTER: Trade free for 90 days

Options Trading News

January 31, 2013  Thu 8:14 AM CT

SPX: SEE CHART GET CHAIN FIND STRATEGIES
We've been raising cash for my charitable trust because we figure that stocks don't grow to the skies, and that's where they were headed. We bet that the Fed's outlook would be a good excuse for others to sell, and the uncertainty of Friday's employment number only gives you another excuse to ring the register.

I mean, you can only go up so much on the same news over and over--and the news is fine, not blowout. We had a weak GDP number (which was explained away). We had earnings that are fine. We had housing that is fine. We had no growth in Europe--and that is fine, too.

You can only go up for so far on "fine" without feeling like Larry Fine, the dumbest of the Three Stooges.

All that said, I think this market remains in "Mason Storm" mode, the Steven Seagal character in "Hard to Kill." In the movie, Storm was shot and remained in a coma for years but came out strong enough, after some training, to take on a corrupt politician and an army of thugs--and he managed to prevail because he had a superior attitude and a superior state of mind.

I like the imagery, if only because it is a reminder of a market that seems fictional in its run with almost every sector performing well.

Of course, if we get something "better than fine"--meaning a couple of upside surprises from some of the remaining industrials and retailers and a decent employment number--we could be right on track.

In the interim, after enjoying the best January most can recall, we're back in the coma stage for the moment. When the market comes to, I wouldn't be surprised if it challenges those highs that are so tantalizing right now but aren't yet ready to be taken out.
Share this article with your friends


Related Stories

SPX

Cramer: Tune out Fed naysayers

December 19, 2014

When we have inflation, the data-dependent Fed will switch. Until then, what's the point? Promote havoc? Slow down growth to make it so the hiring binge is over?

SPX

Stocks inch higher following rallies

December 19, 2014

S&P 500 futures are up 0.2 percent but below their highs earlier in the morning. Asia surged overnight, led by gains of about 2 percent in Tokyo and Shanghai. Oil is holding its ground as well.

SPX

Earnings reports fill quiet calendar

December 19, 2014

The only items today are quarterly results from CarMax, Carnival, and BlackBerry. Several events are packed into Tuesday and Wednesday because of next week's Christmas holiday.

SPX

Stocks rally again on Europe, oil

December 18, 2014

S&P 500 futures are up more than 1 percent, while most European indexes are gaining 2 percent. Asia was mostly higher overnight, led by a 2 percent gain in Tokyo.

SPX

Jobless claims, Philly Fed on tap

December 18, 2014

Today's economic calendar features initial jobless claims and the Philadelphia Federal Reserve's regional-activity index.

Invest Like a Monster - Las Vegas: March 13-14

Premium Services

Archived Webinar

The Art of Trading: Forgiving the Spread

Education & Strategy

Know thy Greeks!

One of the most important roles played by the Option Pricing Model is the calculation of an important family of...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER