May 16th Watchlist
Jobless Claims surge to 6-week highs, well above expectations and Housing Starts dropped 16.5%. Consumer Price index also fell in April. This economic data has pushed the indexes down slightly during the premarkets but we've held up well considering the negative sentiment from these reports.
Gold & Silver are looking at some aggressive gap downs this morning and both of these precious metals are near or through their lows seen from the beginning of April.
Bears have gotten absolutely slaughtered during the past few weeks as the indexes have managed to plug new all time highs consistently without any recourse. Some of the high flyer stocks like Google (NASDAQ: GOOG), Priceline (NASDAQ: PCLN) & Netflix (NASDAQ: NFLX) have managed to rally points on top of points in the last few sessions, providing unbelievable returns for those who chose to swing out of the money call options. Fighting the trend for many traders has proven to be quite disastrous and it's now the ignorant traders who continue to buy blindly that are reaping the full benefits.
Sang Lucci traders have done quite well though sticking with the trend, but now comes the time where the markets get a bit dicey and longs aren't that easy to find & shorts don't easily pay out. Coming into Friday's options expiration, it may be a slow period where the option writers start taking over the show.
GOOD MORNING YOUNG WORLD!
The following article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.