A very intuitive data to view the rise and fall of US stocks. This is a comparison chart of the S&P 500 Index and VIX Index daily levels over the past 4 years. Every time the VIX Index surges, it is usually near the bottom of the S&P Index. If the VIX surges and then quickly drops, the bottom of the S&P 500 will not stay long. If the VIX surges and consolidates at a high level for a period of time, the corresponding bottom of the S&P 500 will also linger, but usually not exceeding 2 weeks. This is also why the US stock market has short bear markets and long bull markets.
The recent rapid decline in US stocks over the past few days is more a result of the market's overreaction to hawkish remarks from Fed Chair Powell, affecting major global asset classes. But as soon as the PCE data was released before the market opened today, the market started to become optimistic again. All three major stock indexes rose by more than 1% today, with many individual stocks surging over 10% intra-day.
It has to be said that the Federal Reserve is still a master of managing expectations. Next week is Christmas, coinciding with the pre-holiday Federal Reserve interest rate meeting + PCE data providing the market with a quick deleveraging. So we can look forward to the Christmas market next week.
The recent rapid decline in US stocks over the past few days is more a result of the market's overreaction to hawkish remarks from Fed Chair Powell, affecting major global asset classes. But as soon as the PCE data was released before the market opened today, the market started to become optimistic again. All three major stock indexes rose by more than 1% today, with many individual stocks surging over 10% intra-day.
It has to be said that the Federal Reserve is still a master of managing expectations. Next week is Christmas, coinciding with the pre-holiday Federal Reserve interest rate meeting + PCE data providing the market with a quick deleveraging. So we can look forward to the Christmas market next week.
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Buy 1000 shares of ETHU at the current price, spending $9300. At the same time, sell 10 units of 241220 15 Call, receiving a premium of $200.
Possible outcomes:
1️⃣ 12.20 ETHU price is in the range of 9.3-15, you earn stock appreciation gains + additional premium income $200
2️⃣12.20 ETHU price breaks above 15, your stocks are exercised, gaining a guaranteed profit of $5700 + a premium of $200.
At 3️⃣12.20 ETHU, the price is below 9.3, you are at a loss with your stocks, but the option premium of $200 can provide additional compensation for 2% of the principal loss.
Suitable for friends who are bullish on ETHU in the future market and are willing to buy now. There are only 10 days until the options expiration date, so being the seller is more appropriate. $Volatility Shares 2x Ether ETF (ETHU.US)$
Possible outcomes:
1️⃣ 12.20 ETHU price is in the range of 9.3-15, you earn stock appreciation gains + additional premium income $200
2️⃣12.20 ETHU price breaks above 15, your stocks are exercised, gaining a guaranteed profit of $5700 + a premium of $200.
At 3️⃣12.20 ETHU, the price is below 9.3, you are at a loss with your stocks, but the option premium of $200 can provide additional compensation for 2% of the principal loss.
Suitable for friends who are bullish on ETHU in the future market and are willing to buy now. There are only 10 days until the options expiration date, so being the seller is more appropriate. $Volatility Shares 2x Ether ETF (ETHU.US)$
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1️⃣ The Options trading volume of GME has indeed increased significantly in the past two days, and it is highly Call.
2️⃣ I also found an account tracking Block Orders accumulation, which posted 5 GME Block Orders accumulation charts starting from 12.03 over a half month.
3️⃣ From a technical perspective, the daily chart shows a bullish alignment, and the weekly chart has just aligned bullishly, indicating no major issues in the trend.
Retail investors are very active on Twitter, as a MEME stock in the US stock market, the previous intense battle with Wall Street saw continuous crazy gains.
In summary, prepare to buy some Call options at market price tomorrow morning, and see if there is really a big market ahead.
$GameStop (GME.US)$
2️⃣ I also found an account tracking Block Orders accumulation, which posted 5 GME Block Orders accumulation charts starting from 12.03 over a half month.
3️⃣ From a technical perspective, the daily chart shows a bullish alignment, and the weekly chart has just aligned bullishly, indicating no major issues in the trend.
Retail investors are very active on Twitter, as a MEME stock in the US stock market, the previous intense battle with Wall Street saw continuous crazy gains.
In summary, prepare to buy some Call options at market price tomorrow morning, and see if there is really a big market ahead.
$GameStop (GME.US)$
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Buy 1 AMD 250321 140 Call.
Sell 1 AMD 250321 180 Call.
Total investment is about $627, with a maximum loss of $627 and a maximum profit of $3373, with a profit-loss ratio of 5.3:1.
Buying reasons: AMD has fallen to relatively low levels on the daily and weekly charts, and the market sentiment is extremely depressed. It is an opportunity to buy spot or go long. There are no major bearish fundamentals, and the valuation is within a reasonable range.
Stop loss: Decide based on your own position and risk preference assessment.
$Advanced Micro Devices (AMD.US)$
Sell 1 AMD 250321 180 Call.
Total investment is about $627, with a maximum loss of $627 and a maximum profit of $3373, with a profit-loss ratio of 5.3:1.
Buying reasons: AMD has fallen to relatively low levels on the daily and weekly charts, and the market sentiment is extremely depressed. It is an opportunity to buy spot or go long. There are no major bearish fundamentals, and the valuation is within a reasonable range.
Stop loss: Decide based on your own position and risk preference assessment.
$Advanced Micro Devices (AMD.US)$
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$Tesla (TSLA.US)$ Today's review mainly focused on the issue of selling too early. The original plan for today was to wait for TSLA to reach 450, and I should have firmly held the overnight call bought on Friday. However, because the recent period has been too volatile, I couldn't really hold on, leading me to close all calls at the opening today, only making a small profit.Although I made some profit, there is still a sense of dissatisfaction.
But as TSLA fell, I found that the selling volume was not large, and there were signs of a bounce. Without hesitation, I directly bought end-of-day calls, and this decision turned out to be very correct, as everyone saw the rise of TSLA. So, I closed the calls, making a considerable profit. I am very grateful.
In conclusion: I took a loss with some puts and then used all the profits to buy the actual TSLA stocks. Some may ask why not just hold the calls directly? Why buy the stocks too? The answer is, because options are volatile, when I am not sure if the uptrend can continue, I take the profit from the options and leave. But I don't want to miss out on good stock gains, so I reinvest the options profit into stocks, ensuring that I can benefit more. Even if I can't get more, the losses from the stock fallback are limited. (Sharing this with moomoo friends)*I am beautiful, cute, and kind* 💗 $NVIDIA (NVDA.US)$ $Invesco QQQ Trust (QQQ.US)$...
But as TSLA fell, I found that the selling volume was not large, and there were signs of a bounce. Without hesitation, I directly bought end-of-day calls, and this decision turned out to be very correct, as everyone saw the rise of TSLA. So, I closed the calls, making a considerable profit. I am very grateful.
In conclusion: I took a loss with some puts and then used all the profits to buy the actual TSLA stocks. Some may ask why not just hold the calls directly? Why buy the stocks too? The answer is, because options are volatile, when I am not sure if the uptrend can continue, I take the profit from the options and leave. But I don't want to miss out on good stock gains, so I reinvest the options profit into stocks, ensuring that I can benefit more. Even if I can't get more, the losses from the stock fallback are limited. (Sharing this with moomoo friends)*I am beautiful, cute, and kind* 💗 $NVIDIA (NVDA.US)$ $Invesco QQQ Trust (QQQ.US)$...
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Nearly just bought at the lowest point, is it smart or stupid, we'll see next month.
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