Today some institution/fund purchased 22,045 contracts of February $50 strike calls (or the right to purchase 2,204,500 shares of Wells Fargo at $50). This is an abnormally sized bet for this stock and contract as the open interest was just 3,422 prior to this purchase. Wells Fargo ($WFC) reports earnings 1/15/19.
NYMO short term oscillator
Yesterday I put out a post about the AAII Sentiment survey and that it would potentially portend a few days to a week of sideways/possibly down consolidation to work off the short term exuberance. Another short term indicator I have used for many years is the NYMO or the NYSE McClellan Oscillator Continue reading “NYMO short term oscillator”
What I’m reading today…
- Big Carvana Holder Buys Up More Stock (Barron’s)
- Robot Chefs Ready To Make You Burgers, Fries, Bread, Coffee (Investor’s Business Daily)
- The Yield Curve Is Warning Investors to Exit Bank Loans (Barron’s)
- Junk-Bond Sale Ends 40-Day Market Drought (Wall Street Journal)
- Investors Were Spooked About Profits. Now Come the Facts (New York Times)
- Roku aims to expand cord cutting ()
- ‘Extraordinary’ Month Heaps Further Pain on Hedge Funds (Bloomberg)
- Beaten-down value stocks will see a 2019 comeback (CNBC)
Unusual Option Activity
Insider Buying
Insiders seemed unfazed by the additional ~47.7% drop in $LJPC La Jolla Pharmaceutical Company on Jan 7 – as they have been in the market scooping up shares since the company announced preliminary operating Continue reading “Insider Buying”
What I’m reading today…
- These 6 stocks rose after downgrades. That’s a good sign: (Barron’s)
- Stock Markets Could Get a Lift From These 3 Things: (Barron’s)
- Computer Models to Investors: Short Everything: (Wall Street Journal)
- Should You Fear the Yield Curve? (Wall Street Journal)
- Fed Ready to Pause on Interest Rate Increases (New York Times)
- PayPal Quietly Took Over the Checkout Button (Bloomberg)
- Beijing says latest US-China trade talks made progress on forced tech transfers (CNBC)
- Twitter named a 2019 best Internet idea at JPMorgan: (The Fly)
- Legendary Hedge fund manager Jeffrey Vinik believes the current bull market could last another 10 years (CNBC)
AAII Sentiment indicator
AAII sentiment results are out this morning. The implication is the markets may need a few days/week rest before resuming higher. The last instances that Bullish sentiment/Bearish sentiment were in these ranges were Dec 6, Continue reading “AAII Sentiment indicator”
NASI indicator
I’ve always used the Nasdaq McClellan Summation Index as a barometer for risk in the market. The McClellan Summation Index is a breadth indicator derived from the McClellan Oscillator, which is a breadth indicator based on Continue reading “NASI indicator”
Quote of the day…
What I’m reading today…
- Disney CEO Bob Iger Says Spending Billions on Theme Parks Is a No-Brainer (Barron’s)
- Best Income Investments for 2019 (Barron’s)
- Cancer Deaths Decline 27% Over 25 Years (Wall Street Journal)
- Small-Cap Stocks Take On New Shine as Markets Slump (Wall Street Journal)
- S., China Negotiators Narrow Differences on Trade (Walll Street Journal)
- Big hedge funds make gains, most slump in 2018 returns (New York Post)
- This Activist Investor Should’ve Believed More in His Plan (Bloomberg)
- Trump Wants Trade Deal With China to Boost Stocks (Bloomberg)
- Trump is probably going to get his way with the Federal Reserve this year (CNBC)
- Hedge fund managers are betting big against these 12 stocks, Bank of America says (Business Insider)