Benzinga's Options Outlook for the Week of July 22: Banks Are Catching Up!
As expected from last week, markets continued the bid with the banks catching up, the big winner being Bank of America (NYSE: BAC), which was mentioned before reporting earnings the previous week, roaring over $14.
In addition, many were able to play the Google (NASDAQ: GOOG) move via volatility and straight delta trading. Google moved a beautiful 30 points of recovery during the trading day, offering plenty of opportunities for a trade.
Main idea for this week is to just wait for the dip. Markets have been on a tear recently, leaving the big moves behind already. Investors should clean up their watch lists and wait for a dip.
Play post earnings plays or long ATM strangles for best risk reward. Again, markets are in No-Man's land being so high up, we'll have to scout for ideal setups to come to fruition. It's alright to not trade, sometimes the markets will not yield anything juicy.
Good things come to those who wait.
(c) 2013 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.