In the morning, a 400+ number for claims and a bad Durables report would send us south in wave 3 style. We could gap down hard at the opening, but we have a small amount of room on the chart for us to pop up a point or two, maybe a last ditch effort to hold us up here. I really hope we get the latter, for a possible trade on some mayflies -- short-timer puts.
Trying to coin a term here, mayflies are opening a new options position with 3 or fewer days left until expiration. This is in contrast to Lazarus options, which are calls or puts you bought originally with plenty of time on them, but you were wrong and held them too long underwater, and now, while expiry approaches, you pray for them to rise from the dead. Only Jesus can save them.
I scalped some weekly 135 calls today, managed to dump them for a small profit while they were still green. I wanted to have them more for the possibility that we could ramp another 15 handles higher, and I managed to ditch them before they became losers. I don't want little spec plays like this to crash and burn and end up worthless and just embarrassing, which is so easy to do with mayflies.
Hope the channel is about there now.
|Can we actually dive below 1280 this week?|
|The big nasty|