Mid Day Trading Update – Stalled Out
Futures have been flat all day basically as the recent run-up has been temporarily stalled out. For the past few sessions it has been the Internet/Tech names at the head of the pack now it seems the Financials have taken the lead with Bank of America & Citigroup up around 1.5%. The Materials sector has also performed well today thus far but you must remember that whole sector has gotten hammered this past month.
All eyes were on Apple (NASDAQ: AAPL) this morning as the premarket action forced the stock down almost through $390. Once the market opened for business though Apple rocketed higher over 20 points in a matter of minutes and then proceeded to crash all the way back down to $400. The stock caught traders on both sides of the trade yet provided ample opportunities to scalp quickly for substantial profits.
First Solar (NASDAQ: FSLR) is worth noting today, putting in another ramp higher after the April 8th move to the heavens. The stock has almost doubled since the beginning of this month.
Today was a perfect day to capitalize on writing strategies to bet on the non-movement. The idea is to sell calls against the rallies and sell puts against the sell-offs in names like LinkedIN (NYSE: LNKD), Google (NASDAQ: GOOG), Priceline (NYSE: PCLN) & Netflix (NASDAQ: NFLX). You must stay further out of the money and find the correct options to write but today is the type of environment you’re looking for.
Stay tuned for more updates and make sure to watch our new video series with Haim Bodek as we explore the infrastructure of the markets as it exists today!
The following article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.