By Sell Puts
Slow motion with me now.... Yes the volume is gone, 140 million shares were missing from the SPY today, her 3 month average is 281m, IT is late summer BUT another factor may be contributing. The most likely factor in my opinion is traders are waiting for a definitive break out of the six month range we have been chopping around.
Until then we will remain in slow motion.. Traders wake, up look at the futures and say "eh not today, no catalyst". I know i think this way, it preserves capital and allows you to become more patient while looking at the market in a more macro view, not tick by tick. Today the market looked like it was gonna make a move, each potential break turned into a reversal back into the channel. Of course all this happened on very low volume, or "slow motion".
Monday it appeared to most home gamers we were going higher this week, today proved the bears are not going to give up easily. The 1150 level is coming up in the spooz, if we move up into this number short covering will probably become more great, contributing to a gap if the futures get moving overnight catching shorts off guard. Friday we have a major roadblock for the bears coming up, JOBS #. As we have seen over the course of the summer this number can and will move the market. Whether or not the number will be shrugged and spun by the media is another story, if they convince everyone a shitty number is good we might just rally who the hell knows.
Also, anyone catch MDCO, i tweeted when it was around 10 bucks.. The 10 calls exploded, crazy what can happen on a slow day.
