OptionsHouse

Options Trading News

November 7, 2012  Wed 1:33 AM CT

XLF: SEE CHART GET CHAIN FIND STRATEGIES
Politics will continue to dominate the calendar today, with activity shifting from the United States to Greece.

Lawmakers in Athens are expected to vote on budget cuts in the afternoon, local time, likely putting the results in the midst of U.S. trading. While the austerity measures are widely unpopular, they are considered necessary for the debt-laden country to receive a bailout and avoid default. If the efforts fail, it could weaken sentiment, especially toward European financials.

There are two other relatively minor data points. At 7 a.m. ET, the Mortgage Bankers Association will publish weekly data on loan applications. Activity slowed last week by 4.8 percent.

The Energy Department follows with crude-oil inventories at 10:30 a.m. ET. Last week they rose by 2 million barrels.

Neither release is tracked by economists. A positive reading would be bullish for the MBA number because it would reflect more lending, while a negative reading would be positive for energy because it would suggest that stockpiles are being consumed more rapidly than they're replaced.
Share this article with your friends


Related Stories

XLF

Rundown of trades in financial sector

February 4, 2016

Financials have struggled since mid-January, with mixed options activity. Here's a list of noteworthy trades in the sector.

XLF

Big trade bets on bounce in financials

January 25, 2016

The SPDR Financial Fund is down 10 percent in the last month, but a large call purchase is looking for a bounce this week.

XLF

Financials get short-term upside bets

January 13, 2016

The SPDR Financial Fund is down 7 percent in the last month, but traders are looking for a quick pop by the end of next week.

OptionsHouse

Premium Services

Upcoming Webinar:

Using Options For Income

http://bit.ly/1nY1OKA

Jon Najarian and Adam Mesh of Options Wealth Machine discuss a detailed strategy utilizing credit spreads to generate income, and how any level of trader can use this simple trading technique.

Education & Strategy

Sweet Spot Exceptions

As discussed last week, when using the Stock Replacement Strategy to replace a stock position to trade direction, we want to use an option that has very similar characteristics to the stock. We talked about using the deep in-the-money, 80 to 85 delta option that is similar in the Greeks and has relatively little extrinsic value which tends to work against us in stock directional trading.

View more education articles »