Market Overview

Jeff Kilburg Wants To Sell S&P 500

Speaking on CNBC's Futures Now, Jeff Kilburg said that he would sell the S&P 500 at 1,999. He thinks that the market had a tremendous run in August and it seems that it is a little bit overdone.

Kilburg explained that with a decrease in QE in 2014, companies started to decrease buybacks. In his opinion, that means that managers find current prices a bit expensive.

His target price for this trade is at 1,974 and he placed a stop loss at 2,011. The trade offers a 2-to-1 return. If the market rallies he would lose $600; if it declines he would win $1,250.

Scott Nations thinks that if the S&P 500 declines below the 2,000 level, many traders would find it tempting to sell short. The S&P 500 index closed Tuesday's trading session right at 2,000.

Posted-In: Jeff Kilburg Scott NationsCNBC Media

 

Related Articles

Around the Web, We're Loving...

Get Benzinga's Newsletters