Option Professor- Stock Market-How Will We Know Correction is Over? Must Read!
September 24th 2021 Option Professor Opinions & Observations
Since our last report the market went into the tank and the rebounded back. We told readers that the market was very extended at SPX 4550 area and was trading way above its moving averages…reversion to the mean was pretty obvious. Option strategies like collars and replacement trades worked pretty well in many markets (FDX). As of this writing; the VIX remains above 20 and the SPX is under 3 resistance zones (4435 4480 4510) and the relative strength index is Under 50….so we would like to see closes above resistance, VIX under 18-19 and RSI above 50…when that happens we will have more confidence that the bullish prognostications for Q4 is materializing….until then it’s caveat emptor time.
Get our detailed report on what sectors will be best in Q4 at optionprofessor.com
Stock Market
The market got oversold while China was on holiday and the Evergrande “news” hit the tape. Of course China will get involved and the Fed says tapering will begin as well (less accommodation as expected). There are sectors that may shine and others that will not so go to optionprofessor.com and get the detailed report.
Bond Market
Interest rates remain relatively low and the spread between the 10yr 30yr to us seems kind of tight. We see TLT as having major support between 142-148 and if broken talk of higher interest rates will get more reasonable. Each week we update readers on the best ways to get INCOME so go to optionprofessor.com and get the detailed report.
US Dollar/International Markets
We have told readers that the US Dollar (DXY) bottomed at 88-90 months ago and we remain positive as our yield advantage and economy still is the place to be. Should we break 90-91 all bets are off-plenty of resistance at 95!! International markets corrected with the USA…China/Emerging Markets groping for a floor and turning point (October??) while Europe took a pause to refresh. The Pacific Rim (Australia-Japan-Korea) broke out then dipped.
Go to optionprofessor.com and LEARN how e get exposure to these regions
Crude Oil Natural Gas
We have told readers for the last month that Q4 could be the time to make hay in the energy markets and as of this report we stick with this view. Supply Demand dynamics support the thesis. Get the detailed report & our viewpoint!
Gold Silver Copper Crypto
These stores of value and industrial metal has been challenged lately but you warned of this months ago…will October start the turn in these markets? LEARN how we position in Gold Silver Copper & BitCoin-optionprofessor.com & go!
Soybeans Sugar Coffee
These three markets went thru the roof and seem to refuse to go down after relatively minor corrections.
Get our detailed report at optionprofessor.com!
Remember All investing involves risk and is not right for everyone. Consult your brokerage firm/broker to determine your own suitability and risk tolerance. Past performance is not indicative of future results. Information and opinions are for informational purpose only It is NOT advice.
