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

Calm before storm in economic data

October 31, 2014

Today brings a handful of events, followed by a heavy calendar of economic news next week that culminates in the non-farm payrolls report.

SPX

Stocks stay lower after GDP report

October 30, 2014

S&P 500 futures are down half a percent, following declines in Europe and commodity markets.

SPX

GDP, jobless claims lead agenda

October 30, 2014

Today's big data report is the first estimate for third-quarter gross domestic product at 8:30 a.m. ET. Economists expect growth of 3 percent.

SPX

Futures lower before Fed report

October 29, 2014

U.S. equity futures are pointing to a slightly lower open ahead of the Federal Reserve's policy announcement this afternoon.

SPX

Federal Reserve dominates docket

October 29, 2014

Traders will be focused on the Federal Reserve's policy announcement today at 2 p.m. ET. Goodyear Tire & Rubber, Hershey Foods, SunPower, and Eaton report earnings in the morning.

Premium Services

Free Webinar Series

The 100K Challenge

Education & Strategy

Anatomy of a butterfly

One of the many esoterically named option strategies is known as a "butterfly." But don't be fooled: Like other advanced...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER