Learn the trade here. Make it on tradeMONSTER

Options Trading News

March 21, 2014  Fri 11:02 AM CT

SPX: SEE CHART GET CHAIN FIND STRATEGIES
The market is doing its best to frustrate bulls and bears this year.

If you are a bull, you are both heartened by the fact that winding down of tapering (quantitative easing, or QE), the conflict in Ukraine/Crimea, and a series of horrible winter storms have failed to knock the market down. Still, you have to wonder whether the struggle against all of the above has sapped the market's strength.

The bears have had thin gruel as well, as the first quarter brought nearly everything you could hope for to take the market down, yet the S&P 500 is unchanged on the year. Now bears have to worry what happens if the news and catalysts turn more positive (which is likely, especially on the weather front), with the prospect of the SPX trading to or through 2000 in the quarter.

There is also some concern over today's "quadruple witching," which marks the expiration of contracts for index options, index futures, single-stock options, and single-stock futures. But I think that everyone that needed to roll out of expiring March options has already done it, so I don't anticipate anything significant from expiry at the end of today's session.

One thing I do believe could muck things up, however, is how we trade into tax season. Cash paid to IRS is due April 15, and the market could be vulnerable if bad weather or Ukrainian issues return and coincide with a flight of cash to pay taxes.
Share this article with your friends


Related Stories

SPX

Large spread hedges S&P 500

October 22, 2014

A put spread in the S&P 500 Index is looking at the possibility of a huge market decline by early next year. This is very likely what is known as a "tail-risk hedge."

SPX

Stocks pause after quick rebound

October 22, 2014

S&P 500 futures are essentially flat, while most of Europe is higher by less than half a percent. Most of Asia rallied overnight, led by a 2.6 percent surge in Tokyo.

SPX

Earnings, mortgage data on docket

October 22, 2014

Boeing, Dow Chemical, EMC, Ingersoll-Rand, General Dynamics, and Norfolk Southern announce their results before the opening bell.

SPX

Stocks higher on sentiment, earnings

October 21, 2014

S&P 500 futures are up 0.6 percent, while the Nasdaq advanced 0.9 percent after strong iPhone sales caused Apple to beat expectations. European markets advanced by 1.5 to 2.3 percent.

SPX

Agenda keeps focus on earnings

October 21, 2014

McDonald's, Coca-Cola, Lockheed Martin, Verizon Communications, United Technologies, and Harley Davidson release their numbers this morning.

Premium Services

Free Webinars

Make Money in a Volatile Market

Education & Strategy

Vexed by the VIX

Many people probably don't know that the calculation changed for the CBOE Volatility Index this week, but it's worth discussing...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER