May 22nd Watchlist

All eyes will be on the FED announcements today as we have Bernanke scheduled to speak at 10 AM & the release of the FOMC minutes at 2 PM. Many traders are hoping this economic news will be the catalyst to provoke a fresh big picture move out of the indexes today. The markets have been choppy this week while sentiment has remained quite bullish.

Top earnings plays this morning are coming from Lowe's Co. LOW, Toll Brothers TOL, Staples SPLS, & Target TGT. Toll Brothers is up significantly off the news and we also have Home Sales numbers coming out at 10 AM so watch for confirmation that the housing sector is still on an uptrend.

I'm expecting yet another choppy session today but am hoping the FED news shakes us out of this recent funk. Writing options is the best way to capitalize on the lack of activity out there and newbie traders who don't have the leverage to write would be wise to simply NOT trade. Staying in cash can be a great trading plan!

I would also recommend against holding positions into Bernanke's speech or the FOMC minutes. It could get volatile and chances are you'll get shaken out of your directional options bets.

GOOD MORNING YOUNG WORLD!