Stocks & Bonds

Options Trading In Motion: The 1 by 2 Vertical Options Spread

Looks like a bit of a bounce this morning. I wouldn’t make too much of that, though, as Tuesday is often a counter trend day. But, hey, market prognostication isn’t exactly my area of expertise. But, options education is. So, after looking at a 2 by 1 spread yesterday using…

US Stocks: A Preface To The Impossible Correction

Despite a renewed pullback and fears of a deeper stock market correction following the reprieve in the beginning of last week, the highly uniform rising trend in US equities that characterized all of 2013 continues as we move deeper into April.  Among benchmark domestic stock indices, over the past year…

Common Characteristics Of Recent Stock Market Corrections

Watching and trading the markets thus far in 2014, it’s become quite clear to me that this isn’t the 2013 playbook anymore. 2013 was the year of “buying the dip.” This year seems like it won’t be that easy.  There’s been some big deterioration recently in the former tech leaders…

The Best Of See It Market – March 2014

On the surface, March appeared to come and go with little investor fanfare. However, when peeling back the onion, it was a much more eventful month for the financial markets. Momentum stocks were hit hard. And Tech and Small Caps lagged, while bonds and Blue Chips ticked higher. Throughout the month,…

Higher Interest Rates On Pause? 10 Year Yield In Focus

There has been a steady buzz about higher interest rates coming from the media and many institutional investors.  But are higher interest rates coming anytime soon? I don’t think we are in an environment where interest rates are going to rise anywhere near as fast as we saw in 2013. …

Observations On a Year Spent Buying the Dip

Like few other times in history, US stocks have just enjoyed a year of exceptionally low volatility.  It was a period during which the wisdom of sophisticated portfolio managers at the helm of alpha-starved funds was made foolish by the constant sardonic refrain of “BTFD”.  The meaning of “smart money”…

ETF Investing: Uncovering Strength Amid Equity Turmoil

The last few trading weeks have surprisingly choppy with the market unable to make up its mind on a convincing direction.  The mornings are typically filled with bullish opens that fade in the middle of the day as momentum wanes.  The key push for the bulls is to regain the…

Why This Pullback Is Better (and Worse) Than It Seems

US stocks seem like they’ve been split in two by the current pullback.  Or is it 4?  The number depends entirely on what segment of equities you’re looking at. However bifurcated or otherwise sliced up the price action feels lately, a single unifying theme has emerged: despite superficial appearances, reassuring…