It was a fantastic week for stocks.
The S&P 500 ended the week up 5%, while the Nasdaq surged 8%.
The 2-day buying frenzy created the biggest gain since 2008.
It's been a tough year, but this is the reason investors need to be in the market in some way.
And being engaged and patient allowed us to close out another triple-digit profit in CCL too!
Now many talking heads are already saying inflation has peaked, but they are the same knuckleheads singing that song in July.
Despite this great rally, we're still in a bear market.
The Federal Reserve continues to have a hawkish approach to interest rates.
There's a lot more pain ahead, but that doesn't mean we're going to sink below the recent October lows.
As I've been saying for the last few months, we're going to be in a trading range.
Because the market is forward-looking and the worst is behind us at this point, markets will settle down.
This is great for us because we'll get more opportunities.
The CBOE Volatility Index (VIX) closed this week at 22.
That's a 2-point decrease and a 35% decrease from October highs.
So that means volatility remains elevated, but not as much as it was a month ago.
We will continue to see swings, but not as large.
But that can change.
Now let’s talk shop.
Here’s a recap of what we did this week.
- Sell-to-close CCL Nov. 18, 2022, $9/$10 call spread
Right now, we’re holding:
Have a great weekend and it's time to enjoy a ice cold spicy margarita - TGIF!
Joshua M. Belanger