Today is July options expiration and we do have two trades that expire today.
Even after a tough start to the week, the S&P 500 Index (SPX) clawed it way out of the 1% hole to eke out a small loss.
In the short-term, we're starting to see that sellers aren't able to push prices lower, which is a relief.
Inflation coming in at 9.1% was the headline this week.
The real unadjusted number is 16%, but we continue to see the interest rates back off their highs hit in June.
As we saw, this was a sell the rumor, buy the news.
With interest rates dropping, we're setting up for a massive bear market rally the next several weeks.
Also, earnings season kicks off next week which the market will look for any reason to rally.
That means we going to be a little aggressive with our bullish trades, but we still need to be nimble and quick.
The CBOE Volatility Index (VIX) which closed at 24.
That’s unchanged from last week, but indicates we will continue to see 100 point swings in S&P 500.
Now let’s talk shop.
Today, these positions will expire.
Unfortunately, we don’t have more time for them to play out.
There’s nothing that you need to do, and they will be removed from your account over the weekend.
Taking losses isn’t fun, but without the bitter, the sweet isn’t as sweet.
Here’s a recap of what we did this week.
Right now, we’re holding:
Have a great weekend and enjoy a fresh spicy margarita - TGIF!
Joshua M. Belanger