Monday, December 19, 2016

OPTIONS "EXASPERATION"

Friday was the last Option expiry and Triple Witching (futures,stocks) of 2016, and other things were happening to the market, including the upcoming Holidays. The week was basically a non-event as the DJIA moved up a tad, others down. Volume was a record high and the new Delta MSI indicator (Bullish when high) hit 70. The McClellan Oscillator was flat, as was the VIX and today's market. The I.I. Bull/Bear ratio stayed above 3.0, which shows complacency.
Here are the numbers:

Date   12/16/2016 12/9/2016
Indices: DJIA  19843 19786
  NAZ  5437 5444
SPX  2258 2259
WklyVolume (Bshs). naz/ny…. 11.0/6.2 10.0/4.6
Specul.Ratio hi=bullish 1.77 2.17
Sentiment: put/call-CBOE  58 53
VIX>50-alltmlow=8.8 12.2 11.8
DeltaMSI-50% MAC crossover 70% 64%
Advance/Dec-NYSE.. 1045/2063 2451/666
Weekly Net: -1018 1785
     Cumulative: 170664 171682
Weekly  NYSE hi/low… 475/182 676/94
New Hi's/Low's Nasdaq h/l 564/153 788/120
McClellan  Oscillator 4 50
McClellanSum .+750/-1000 403 345
Newsletter Inv.Intel -Bull 59.6 58.8
Surveys-Tues Bear:-5yrs 19.2 19.6
Wed. AAII  -Bull  44.7 43.1
Bear  32.3 26.5
US$-WSJ 102.8 101.6
3-box rev Bullish%-  71 68
US equity -ICI Fund Flows WeekLate 3.0B
MMF flows Change in $B (3.9B) 16.9B
MargDebt- top (300M) monthly  484B OCT.
10-yr Tsy yield hi= stock buying 2.59% 2.47%
2-yr Tsy Yield: Inflation 1.26% 1.14%
TIP (ETF) Inflation 111.2 112.8

With record numbers of dollars coming out of Money Market Funds, mostly into the crowded trade of short term bonds, anyone who has a minimal knowledge of covered call options and/or an interest in hedging stock market exposure might want to check out: brentleonard.com for an alternative strategy that is low-risk as well as highly rewarding. For those of you wanting more details and actual trading results, a new book is available for $14.95 at Amazon.com: Zero (IN)Tolerance


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