It gapped up and closed at 37.10 today as the market was fueled by better than expected job numbers. The volume was impressive as well. The next resistence is 38-39 and 36 will be the new support.
QQQ gapped up
Tag Archives: Job
It’s a up day …
Obviously the job report is not too bad and things are improving in the job market. The market reacted positively.
Both CHN and LFC went up more than 3%. SOHU closed up at 29.05; Mar 30 C is selling at 2.40 now. ACH went up 9.2% today!
SOHU
Long SOHU Mar 30 C @2.30. This is a play at major support level. If the support around 28 holds up, SOHU will move back into lower 30s.
Tomorrow is the first day BOX opens for trading. I hope the stupid cancellation fees charged by all current option exchanges will be forced to be removed due to increasing competition. There’s another stupid rule in option trading, that is, you can not have 100% electronic transaction. Up to now, all exchanges require at least somewhere during the order entry process, a human involvement must be present.
Waiting to see job reports tomorrow.
Will we see a short-term correction on S&P 500?
The blue candle showed on Friday when the job market report didn’t make the grade. The sell-off occured in the first a few minutes and last hour. Before the last hour plunge, it actually recovered most of the loss.
The volume (judging from SPY chart) was more than 50% higher than average.
It was rumored that a big firm sold a lots of puts to their customers and had to sell ES to hedge their position, thus the big plunge in the last hour.
Since the uptrend line is still intact, Monday’s open shall give us some indication of where the market will go. Currently, it’s pretty extended. It would make sense if it goes sideway for a few days or a week to ease up the over bought condition. I would not be a buyer at this time. I will look for weakness to short it.