"…this market is getting weaker and should test SPX 1340.  If the drop goes sharply, we may see 1330 tested."

Yesterday, market came down to test SPX 1340.  This morning, SPX bounced up to 1345, but, in the afternoon, the selling pressure persisted, and SPX came down to test 1330.

Weakest sectors were mining and energy, as discussed in the Sector Watch this weekend: RIO -4.22%; FCX -4.81%; X -6.23%; APA -2.99%; OXY -2.16%; DVN -2.23%.  We were sitting on downside plays since Friday last week, and booked some nice gains during the first 2 days of this week:

• 12:55 | Ecstatic Plays AAPL ($551.80) Sold to Close 05P555 May 555 put, at $7.30 +64%
• 12:38 | Ecstatic Plays AAPL ($553.70) Sold to Close 05P555 May 555 put, at $7.00 +57%
• 12:35 | HappyTrading AAPL ($553.40) Sold to Close 05P555 May 555 put, at $6.35 +43%
• 07:00 | Ecstatic Plays RIG ($44.20) Sold to Close 05P47.5 May 48 put, at $3.35 +68%
• 06:51 | HappyTrading MA ($415.30) Sold to Close 05P420 May 420 put, at $7.50 +21%
• 06:42 | Ecstatic Plays AAPL ($557.60) Sold to Close 05P560 May 560 put, at $7.65 +15%
• 12:56 | HappyTrading MA ($415.10) Sold to Close 05P420 May 420 put, at $8.00 +29%
• 12:51 | Ecstatic Plays AAPL ($558.30) Sold to Close 05P560 May 560 put, at $7.75 +17%
• 12:50 | Ecstatic Plays RIG ($44.20) Sold to Close 05P47.5 May 48 put, at $3.40 +71%
• 12:15 | Ecstatic Plays RIG ($44.40) Sold to Close 05P47.5 May 48 put, at $3.25 +63%
• 07:43 | HappyTrading GS ($100.00) Sold to Close 05P105 May 105 put, at $5.35 +78%
• 07:36 | HappyTrading GS ($100.00) Sold to Close 05P105 May 105 put, at $5.40 +80%

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The Dow was down 63.35 points; SPX fell 3.69 points; Nasdaq dropped 8.82 points:

XME (metals and mining) was down 4.01%.  GDX (gold miners) lost 3.98%.  XLE (energy) fell 1.66% and OIH (oil services) slipped 2.26%.  XLF (financials) slid 0.52%.

SPX

SPX slid 7.69 points to close at 1330.66.  Daily MAs and MACD went lower.

Nasdaq

Nasdaq dropped 8.82 points to close at 2893.76.  Its daily MAs and MACD also went lower.

After the market, JCP reported a quarterly loss and rescinded its dividend; its shares tumbled more than 12% in after-hours.  On the other hand, SINA reported a strong quarter with better-than-expected results.  SINA shares popped +7.51% this evening.

This market continues to slide lower.  Gold and oil are also slipping down.  Gold could test $1500/ounce soon, while oil could see $90/barrel.  Below 1330, SPX has support at 1320.  I think stocks could continue to fall for a couple of more days.  We’ll have to see if Facebook’s IPO on Friday can inspire some buyers back into the markets.

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Last weekend, in my Market Forecast, I wrote:

"For the new week, the market is in a weak position.  This pullback could get easily worse.  First support is at SPX 1360.  But, that will unlikely be the stop.  Most sectors have turned bearish.  Below 1360, SPX 1340 is the next support.  Nasdaq looks the weakest among the major market indices.  The Dow is actually holding up the best.  Financials will once again be very important."

Things pretty much went as forecasted.  On Monday, the market tried to hang on, but, quick succumbed to the selling on Tuesday morning.  We took in some nice gains.  On Wednesday, the market came down close to SPX 1340 then bounced.  On Thursday, the market struggled to find a direction.  In the evening, CSCO disappointed with its earnings forecast and JPM torpedoed the financials with an unexpected $2 billion trading loss.  On Friday, the financials fell, but, the market held up considerably well, with SPX only losing 4.6 points and the Nasdaq holding flat.

We had a nice week, thanks to VRTX and some fast trading.

For the week, the Dow was down 217.67 points; SPX shed 15.71 points; Nasdaq dropped 22.52 points.  Gold and oil continued to fall lower, with gold trading at $1584/ounce and oil at $96/barrel.  At the time of this writing, Asian markets were slightly up after China loosened up its monetary policy.  Let’s see how the US market closed on Friday:

SPX

On Friday, SPX fell 4.6 points to close at 1353.39.  The daily MAs and MACD turned down.

Nasdaq

Nasdaq added +0.18 point to close at 2933.82.  Its daily MAs and MACD were also lower.

Both SPX and Nasdaq closed below their respective support levels (SPX 1360; Nasdaq 2950)!  VIX went above 20 during the week, but, closed just under.  For the new week…

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It was another choppy week on the market.  Stocks struggled to find a direction and eventually ended down on JPM’s announcement of a $2 billion loss on Thursday.  However, we had a strong week with big profits on VRTX, as high as +1185%.  We also caught some nice intraday trades, including a +156% win on LINKD puts.  Here are the closed trades for the week:

• 12:43 | Ecstatic Plays GOOG ($608.00) Sold to Close 05C620 May 620 calls, at $3.00 -48%
• 10:26 | HappyTrading AAPL ($569.30) Sold to Close 05C580 May 580 calls, at $3.30 -49%
• 12:42 | Ecstatic Plays FFIV ($124.00) Sold to Close 0511P125 May 125 put, at $1.80 +16%
• 09:47 | Ecstatic Plays VMW ($101.10) Sold to Close 05P100 May 100 put, at $1.95 +5%
• 09:45 | HappyTrading CTXS ($79.00) Sold to Close 05P80 May 80 put, at $2.55 +28%
• 07:32 | HappyTrading GOOG ($611.00) Sold to Close 05C620 May 620 calls, at $4.80 -29%
• 07:31 | HappyTrading GOOG ($610.95) Sold to Close 05C620 May 620 calls, at $5.80 -13%
• 09:16 | HappyTrading FAS ($94.00) Sold to Close 0511P95 May 95 put, at $2.60 -20%
• 08:51 | Ecstatic Plays BIDU ($125.20) Sold to Close 0511P125 May 125 put, at $1.50 -29%
• 07:30 | HappyTrading SLV ($28.03) Sold to Close 05P29.5 May 30 put, at $1.56 +111%
• 12:50 | HappyTrading VRTX ($63.80) Sold to Close 05C38 May 38 calls, at $25.70 +1185%
• 12:49 | HappyTrading GOOG ($614.80) Sold to Close 0511C610 May 610 calls, at $8.70 +47%
• 12:36 | HappyTrading GOOG ($615.50) Sold to Close 0511C610 May 610 calls, at $9.10 +54%
• 12:23 | HappyTrading GOOG ($612.70) Sold to Close 0511C610 May 610 calls, at $7.50 +27%
• 11:19 | HappyTrading AAPL ($562.80) Sold to Close 0511P555 May 555 put, at $3.80 -21%
• 11:01 | HappyTrading AAPL ($562.80) Sold to Close 0511P555 May 555 put, at $4.80 +26%
• 10:19 | Ecstatic Plays CMG ($397.90) Sold to Close 0511P400 May 400 calls, at $6.10 +17%
• 08:28 | HappyTrading AMZN ($219.00) Sold to Close 0511P220 May 220 put, at $3.50 +3%
• 07:39 | HappyTrading LNKD ($102.90) Sold to Close 0511P105 May 105 put, at $4.60 +156%
• 07:35 | HappyTrading LNKD ($103.70) Sold to Close 0511P105 May 105 put, at $3.70 +106%
• 11:22 | HappyTrading VRTX ($56.30) Sold to Close 05C38 May 38 calls, at $18.40 +820%
• 11:08 | HappyTrading CMI ($105.40) Sold to Close 05P110 May 110 put, at $5.85 +102%
• 09:23 | HappyTrading VRTX ($54.60) Sold to Close 05C38 May 38 calls, at $16.50 +725%

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The weak close on Friday puts the market on a very slippery slope.  Financials have now turned weak.  There has not been strength in the industrials (ie. energies, mining, metals… etc.).  CSCO’s earnings on Thursday evening also exerted pressure on the techs.  In addition, the uncertainties in Europe are not helping.  Still, buyers seem to keep trying to prop up the market.  In the face of all the adversities this week, the market held up considerably well.  We’ll dissect the market further this evening in my Market Forecast for the coming week.

Happy Mother’s Day and HappyTrading! ™

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May 10, 2012 6:51 AM
software
weak… CRM coming down…

May 10, 2012 6:58 AM
CRM
weekly 145 puts doubled in 15 minutes!

May 10, 2012 7:01 AM
CRM
tripled!!

Within 15 minutes, CRM weekly 145 puts went from $1 to $3.5!  These weekly 145 puts closed at $9.83 and went above $10 intraday!  FFIV lost 4.1% and VMW was down 3.9%.  RHT slipped 3.2%.  CHKP stumbled 4.18%.  Among the techs, GOOG, AAPL, and AMZN were propping the market up.

Energy stocks bounced a big today after the recent sharp drop.  Eventually the market eked out a win, with the Dow up +19.98 points, SPX adding +3.41 points, and Nasdaq slipping just 1.07 point.

Most sectors were flat.  FDN (internet) fell 1.12%.  IGV (software) lost 2.03%. 

SPX

SPX added +3.41 points to close at 1357.99, below 1360.  Its daily MAs and MACD went down.

Nasdaq

Nasdaq slid 1.07 points to close at 2933.64.  The daily MAs and MACD went lower.

Both SPX and Nasdaq closed below their respective support levels, SPX 1360 and Nasdaq 2950.  The market tried all day to stay above SPX 1360, but, lost it in the last hour.  Financials started to slip.  After the market, JPM announced that it suffered a $2 billion trading loss in the last month.  In the after-hour trading, financials were down quite a bit.  Asian markets were mostly lower at the time of this writing. 

While the US market is still vulnerable, it is still stronger than most foreign markets.  It may still need to test SPX 1340, but, it is trying hard to draw a near-term bottom.  We’ll have to see how much JPM’s news will affect the market tomorrow.  We may see buyers on weakness again. On the downside, we’ll look for software stocks to fall further.  Financials could also see a new leg down.

Good night and HappyTrading! ™

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• 07:39 | HappyTrading LNKD ($102.90) Sold to Close 0511P105 May 105 put, at $4.60 +156%
• 07:35 | HappyTrading LNKD ($103.70) Sold to Close 0511P105 May 105 put, at $3.70 +106%
• 07:11 | HappyTrading LNKD ($106.70) Bought to Open 0511P105 May 105 put, at $1.80

I hesitated on CMG with the puts going from $5.1 to $10, and, had to just take whatever profit we had before things started to go back up:

• 10:19 | Ecstatic Plays CMG ($397.90) Sold to Close 0511P400 May 400 calls, at $6.10 +17%
• 07:21 | Ecstatic Plays CMG ($399.50) Bought to Open 0511P400 May 400 put, at $5.20

Yesterday, VRTX jumped +55%, after reporting positive test results for its cystic fibrosis treatment.  We got into VRTX May 38 calls on Apr 27 at $2:

• April 27, 2012
• 08:08 | HappyTrading VRTX ($38.50) Bought to Open 05C38 May 38 calls, at $2.00

We cashed most of them out yesterday with a gain of about +800%:

• May 07, 2012
• 11:22 | HappyTrading VRTX ($56.30) Sold to Close 05C38 May 38 calls, at $18.40 +820%
• 09:23 | HappyTrading VRTX ($54.60) Sold to Close 05C38 May 38 calls, at $16.50 +725%

We cashed the rest out today at +1185%:

• May 08, 2012
• 12:50 | HappyTrading VRTX ($63.80) Sold to Close 05C38 May 38 calls, at $25.70 +1185%

We also took the rest of our CMI puts at +102%:

• May 07, 2012
• 11:08 | Ecstatic Plays CMI ($105.40) Sold to Close 05P110 May 110 put, at $5.85 +102%

Just around noon today, the market hit an intraday low and started to bounce.  We quickly switch gears and cashed out our downside positions and initiated a new longside position with GOOG calls.  In about an hour, we locked in some solid gains just before the close:

• May 08, 2012
• 12:49 | HappyTrading GOOG ($614.80) Sold to Close 0511C610 May 610 calls, at $8.70 +47%
• 12:36 | HappyTrading GOOG ($615.50) Sold to Close 0511C610 May 610 calls, at $9.10 +54%
• 12:23 | HappyTrading GOOG ($612.70) Sold to Close 0511C610 May 610 calls, at $7.50 +27%
• 11:40 | HappyTrading GOOG ($609.40) Bought to Open 0511C610 May 610 calls, at $5.90

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On the earnings front, FOSL dropped about 38% after warning about weakness in Europe.  Fashion stocks suffered on the report:  RL fell more than 3%.  LULU also dropped 3%.

The Dow was down 76.44 points; SPX slid 5.86 points; Nasdaq fell 11.49 points:

GDX (gold miners) was down 3.43%.  GLD (gold) and SLV (silver) both dropped about 2%.  UNG (natural gas) popped +4.73%.

SPX

SPX did 5.86 points to close at 1363.72.  Its daily MAs were flat while the MACD went down.

Nasdaq

Nasdaq fell 11.49 points to close at 2946.27.  Its daily MAs and MACD were down.

This market just refuses to go down.  A quick test to 1350 brought buyers right back in and drove the SPX back above 1360 for the close.  If this bounce continues tomorrow, the pullback may be done!  I thought the market might bounce off of 1350 today, but, I did not expect the bounce to be so strong that it pushed SPX back above 1360.  We’ll have to see how the market goes tomorrow.  However, it does look like gold and silver are going lower.  I’d also look for RL and LULU to fall back to retest today’s lows.

Good night and HappyTrading! ™

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May 3, 2012 11:36 AM
market
I don’t like how things are moving…

We added to our downside positions and took some nice profits today, including two doubles, one on NFLX and the other on CMI.  Here are the closed trades for the week:

• 09:06 | HappyTrading CMI ($105.60) Sold to Close 05P110 May 110 put, at $5.70 +97%
• 07:28 | Ecstatic Plays NFLX ($72.80) Sold to Close 0511P75 May 75 put, at $3.60 +101%
• 07:27 | HappyTrading GS ($109.65) Sold to Close 05P110 May 110 put, at $2.35 +42%
• 07:17 | Ecstatic Plays NFLX ($73.40) Sold to Close 0511P75 May 75 put, at $3.25 +82%
• 07:09 | HappyTrading GS ($109.90) Sold to Close 05P110 May 110 put, at $2.20 +33%
• 09:03 | Ecstatic Plays AAPL ($585.00) Sold to Close 05C620 May 620 calls, at $2.25 -73%
• 09:01 | Ecstatic Plays SWKS ($26.65) Sold to Close 05C25 May 25 calls, at $2.05 +14%
• 06:34 | Ecstatic Plays WYNN ($137.70) Sold to Close 0504C135 May 135 calls, at $3.90 +42%
• 11:47 | HappyTrading OPEN ($45.15) Sold to Close 05C45 May 45 calls, at $3.20 +10%
• 09:46 | HappyTrading OPEN ($45.75) Sold to Close 05C45 May 45 calls, at $3.60 +24%
• 07:41 | HappyTrading NOV ($76.70) Sold to Close 05P75 May 75 put, at $1.16 -51%
• 07:09 | HappyTrading GLD ($161.40) Sold to Close 0504C161 May 161 calls, at $1.17 -13%
• 07:27 | HappyTrading EBAY ($41.40) Sold to Close 05C40 May 40 calls, at $1.95 +28%

LNKD went against the tide, as its stellar quarterly report shielded its shares from the selloff.  LNKD shares popped more than +7%.  CF also reported strong results, but, its shares traded 6.87% lower.

Tech shares were among the hardest hit, with Nasdaq losing 2.25%.  AAPL fell $16.57 to close at $565.25.  We could see $560 tested on AAPL again, soon.  Commodity sectors were weak as well:

OIH (oil services) lost 3.62%, as USO (oil) fell almost 4%.  XME (metals and mining) dropped 2.32%.  XLE (energy) slid 2.29%.

SPX closed just below 1370.  This selling may not be done, although we could see some bounces on Monday next week.  We’ll visit the charts more closely on Sunday in my weekly Market Forecast.

Have a great weekend, everyone!

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Last night VECO reported a better-than-expected quarter, sending its shares up more than +15%.  FIRE shares jumped more than +13% after reporting strong quarter revenue.  SFLY delivered a solid quarter; its shares traded up more than +10% to almost $35, but, it couldn’t hold on to the gain, finishing just slightly up.  SFLY may be a stock to keep an eye on.  The immediate reaction may be misleading.  SFLY still could see above $35 in the near future.

Energy stocks bounced today, after sliding slower for the whole month of April:  APA +1.91%, HES +3.62%, OXY +1.83%, APC +2.53%.

After the market, OPEN dropped more than 15% after reporting a lower-than-expected revenue.  Following EXPE’s strong report, TRIP delivered a similar quarter, sending its shares up more than +16%.

The Dow was up +65.69 points; SPX gained +7.91 points; Nasdaq added +4.08 points:

OIH (oil services) added +1%, while XLE (energy) gained +1.43%.  XLF (financials) was up +1.04%.  MOO (agriculture) climbed +1.27%.

SPX

SPX added +7.91 points to close at 1405.82.  It stayed above its daily MAs.  The MACD went up slightly.

Nasdaq

Nasdaq added +4.08 points to close at 3050.44.  Its daily MAs slid, and the MACD was flat.

The market was really strong this morning, but, the strength faded.  The good things were that the financials were strong today and the energy stocks bounced.  The not-so-good thing was that techs gave back most of their gains made today.  If techs don’t participate, this market will have a hard time breaking out.  It seems like the market is still waiting, waiting for the jobs report due at the end of this week.  Financials and techs are still the two sectors to watch.  Energy stocks can bounce, but, they won’t be the ones to lead this market on a breakout.  Mining stocks are still range-bound.  One other thing to watch is gold, which could see a big move soon.

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"For the new week, we may get a slow start.  AAPL’s earnings on Tuesday after market could be one of the deciding events this week.  If the market were to turn higher, we’ll need to see the financials and/or the semiconductors rally.  Financials along could do the trick, as they would lead the other techs higher."

We did indeed get a slow start.  The market dropped on Monday right at open, testing SPX 1360.  It spent the rest of Monday and Tuesday climbing back up, awaiting for AAPL’s earnings.  Then, AAPL reported a blowout quarter.  The market jumped on Wednesday morning, erasing all of the loss on Monday and closed above 1390.  The rally continued on Thursday, and was followed by another blowout earnings… this time, from AMZN!  The market thought out pulling back a bit on Friday, but, still ended higher, with SPX closing above 1400.

For the week, the Dow was up +199.05 points; SPX added +24.83 points; Nasdaq jumped +68.75 points.  Bot gold and oil closed higher for the week, with gold above $1660/ounce and oil above $104/barrel.  At the time of this writing, Asian markets were mostly higher.  Here’s how the US market closed on Friday:

SPX

SPX added +3.38 points to close at 1403.36.  It closed above its daily MAs.  The MACD turned higher.

Nasdaq

Nasdaq gained +18.59 points to close at 3069.2.  Its 10-day MA went up and the MACD was higher.

Both SPX and Nasdaq closed above their respective daily MAs.  VIX sank below 17.  After 3 days of rally, can this market continue higher?  For the new week…

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Here are the closed trades for the month:

• 06:50 | Ecstatic Plays SWKS ($27.90) Sold to Close 05C25 May 25 calls, at $3.00 +67%
• 10:44 | HappyTrading AMGN ($70.98) Sold to Close 05C67.5 May 68 calls, at $3.65 +116%
• 08:24 | HappyTrading SLB ($74.20) Sold to Close 0427C72.5 Apr 73 calls, at $1.82 +21%
• 07:25 | HappyTrading SLB ($74.00) Sold to Close 0427C72.5 Apr 73 calls, at $1.76 +17%
• 07:23 | HappyTrading GLD ($161.00) Sold to Close 05P155 May 155 put, at $0.48 -63%
• 07:03 | HappyTrading SLB ($74.65) Sold to Close 0427C72.5 Apr 73 calls, at $2.25 +50%
• 07:02 | HappyTrading AMGN ($70.44) Sold to Close 05C67.5 May 68 calls, at $3.20 +89%
• 08:03 | HappyTrading PCLN ($709.00) Sold to Close 0427P660 Apr 660 put, at $0.25 -95%
• 07:54 | Ecstatic Plays MA ($443.00) Sold to Close 0427P25 Apr 25 put, at $0.52 -90%
• 07:10 | HappyTrading GOOG ($592.90) Sold to Close 0427C610 Apr 610 calls, at $1.60 -75%
• 11:28 | HappyTrading WLT ($65.80) Sold to Close 0427C65 Apr 65 calls, at $2.65 -12%
• 11:13 | HappyTrading MA ($433.90) Sold to Close 04C440 Apr 440 calls, at $0.70 -81%
• 08:56 | HappyTrading IOC ($53.00) Sold to Close 05P50 May 50 put, at $3.30 +12%
• 07:15 | Ecstatic Plays UNH ($58.00) Sold to Close 04P57.5 Apr 58 put, at $0.20 -75%
• 06:50 | Ecstatic Plays VMW ($116.50) Sold to Close 04P110 Apr 110 put, at $0.15 -94%
• 06:45 | Ecstatic Plays FFIV ($136.70) Sold to Close 04C125 Apr 125 calls, at $11.75 +122%
• 07:06 | Ecstatic Plays NFLX ($107.50) Sold to Close 04C105 Apr 105 calls, at $3.50 +43%
• 12:49 | HappyTrading IBM ($207.10) Sold to Close 04C205 Apr 205 calls, at $4.10 +30%
• 12:32 | HappyTrading IBM ($207.00) Sold to Close 04C205 Apr 205 calls, at $4.05 +29%
• 06:52 | HappyTrading WYNN ($123.75) Sold to Close 04P125 Apr 125 put, at $2.70 -18%
• 06:45 | Ecstatic Plays AMZN ($187.50) Sold to Close 04P185 Apr 185 put, at $1.65 -50%
• 10:29 | HappyTrading GS ($116.20) Sold to Close 04P115 Apr 115 put, at $1.85 -26%
• 07:12 | Ecstatic Plays APC ($75.00) Sold to Close 04C75 Apr 75 calls, at $1.15 -54%
• 07:04 | HappyTrading PCLN ($715.00) Sold to Close 04P720 Apr 720 put, at $15.50 +121%
• 12:16 | HappyTrading AMZN ($189.30) Sold to Close 04P185 Apr 184 put, at $1.54 -40%
• 12:02 | HappyTrading WLT ($64.45) Sold to Close 04C62.5 Apr 63 calls, at $3.00 +20%
• 07:31 | HappyTrading PII ($72.20) Sold to Close 04C72.5 Apr 73 calls, at $2.40 -11%
• 07:12 | Ecstatic Plays AAPL ($615.70) Sold to Close 0413P625 Apr 620 put, at $5.20 +49%
• 07:10 | Ecstatic Plays AAPL ($616.00) Sold to Close 0413P620 Apr 620 put, at $5.10 +46%
• 10:36 | Ecstatic Plays AAPL ($621.70) Sold to Close 0413P625 Apr 625 put, at $6.25 +39%
• 10:30 | Ecstatic Plays AAPL ($622.20) Sold to Close 0413P625 Apr 625 put, at $5.80 +29%
• 09:57 | HappyTrading CF ($190.10) Sold to Close 04C190 Apr 190 calls, at $4.00 +33%
• 09:46 | Ecstatic Plays AAPL ($625.80) Sold to Close 0413O625 Apr 625 put, at $3.65 +1%
• 12:38 | HappyTrading AAPL ($626.30) Sold to Close 0413P625 Apr 625 put, at $5.50 -15%
• 07:03 | HappyTrading WYNN ($124.40) Sold to Close 04P120 Apr 120 put, at $1.70 -30%
• 08:08 | HappyTrading WYNN ($125.85) Sold to Close 0413P125 Apr 125 put, at $1.35 -36%
• 08:00 | Ecstatic Plays CF ($181.00) Sold to Close 0413P180 Apr 180 put, at $2.50 +13%
• 07:12 | Ecstatic Plays MCP ($35.00) Sold to Close 0413C34 Apr 34 calls, at $1.38 +25%
• 07:05 | HappyTrading V ($119.10) Sold to Close 0413C120 Apr 120 calls, at $0.77 -43%
• 07:55 | Ecstatic Plays AAPL ($634.80) Sold to Close 0413P620 Apr 620 put, at $4.20 -32%
• 06:47 | Ecstatic Plays BIDU ($146.70) Sold to Close 0415C145 Apr 145 calls, at $3.40 -17%
• 09:42 | HappyTrading AAPL ($633.30) Sold to Close 0413C625 Apr 625 calls, at $14.50 +32%
• 09:39 | HappyTrading AAPL ($634.30) Sold to Close 0413C625 Apr 625 calls, at $15.40 +40%
• 07:08 | Ecstatic Plays LNKD ($99.50) Sold to Close 0405P100 Apr 100 put, at $1.00 -17%
• 12:49 | HappyTrading RIG ($51.98) Sold to Close 04P52.5 Apr 53 put, at $1.92 +8%
• 10:55 | HappyTrading NFLX ($110.00) Sold to Close 04P110 Apr 110 put, at $4.25 +13%
• 08:00 | HappyTrading CREE ($29.40) Sold to Close 04C32 Apr 32 calls, at $0.80 -60%
• 07:35 | Ecstatic Plays AAPL ($620.00) Sold to Close 0405P620 Apr 620 put, at $4.50 +29%
• 06:56 | HappyTrading CHKP ($64.15) Sold to Close 04C62.5 Apr 63 calls, at $2.45 -8%
• 06:41 | HappyTrading PCLN ($740.00) Sold to Close 0405C740 Apr 740 calls, at $6.79 -4%
• 06:40 | HappyTrading GLD ($157.80) Sold to Close 0405P160 Apr 160 put, at $2.39 +96%
• 12:41 | Ecstatic Plays PCLN ($739.40) Sold to Close 0405C735 Apr 735 calls, at $9.40 +34%
• 12:10 | Ecstatic Plays PCLN ($737.70) Sold to Close 0405C735 Apr 535 calls, at $8.50 +21%
• 12:03 | Ecstatic Plays PCLN ($737.00) Sold to Close 0405C735 Apr 735 calls, at $8.00 +14%
• 08:13 | Ecstatic Plays FFIV ($139.40) Sold to Close 0405C135 Apr 135 calls, at $4.60 +92%
• 08:10 | HappyTrading FFIV ($139.40) Sold to Close 0405C135 Apr 135 calls, at $4.60 +92%
• 07:41 | Ecstatic Plays FFIV ($139.10) Sold to Close 0405C135 Apr 135 calls, at $4.35 +81%
• 07:17 | Ecstatic Plays FFIV ($138.80) Sold to Close 0405C135 Apr 135 calls, at $4.20 +75%
• 09:27 | HappyTrading FDX ($93.85) Bought to Open 04C95 Apr 95 calls, at $2.50 EXPIRED
• 08:02 | HappyTrading SLV ($31.13) Bought to Open 04P31 Apr 31 put, at $1.02 EXPIRED
• 08:01 | HappyTrading RVBD ($29.00) Bought to Open 04C29 Apr 29 calls, at $1.39 EXPIRED

Well, after 2-and-a-half weeks of consolidation, the market woke up with AAPL’s earnings and continued with AMZN’s blowout!  The other encouraging thing is that the financials also participated.  Energy stocks also bounced.  We’ll take a closer look at some of these sectors on Sunday in next week’s Market Forecast.

Have a great weekend!

Good night and HappyTrading! ™

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The market kept gliding up, with SPX ending just shy of 1400.

After the market, AMZN vaulted $27, or almost +14%, after reporting its own blowout quarter (helped by sales from its Kindle), rivaling that from AAPL.  EXPE popped a whopping +18.73%, topping estimates.  PCLN also jumped in after-hours.  SWKS gained +5% after a healthy report.  WDC also had a good quarter; its shares first popped after the report, but, was then traded lower, down 8.5%.  FIO also experienced similar movement; after beating the estimates, its shares first went up, then settled down 7.35%.  The trading in after-hours on WDC and FIO merely pulled these two stocks back into the neutral zone.  I suspect that buyers can still come in tomorrow.  DECK shares tumbled 18.66% after giving a dismal report.  DECK shares have broken support with more room to go lower.  People may be tempted to play a bounce on DECK, but, I’d wait a while.  DECK has support at $55, but, could test $50.  I’m taking DECK off of my watchlist for now.

The Dow was up +113.9 points; SPX added +9.29 points; Nasdaq gained +20.98 points:

SOXX (semiconductors) bounced +2.17%.  BTK (biotechs) added +1.16%.  XLF (financials) gained +0.85%.  IGV (software) was up +2.25%.

SPX

SPX added +9.29 points to close at 1399.98.  Its daily MAs and MACD turned up.

Nasdaq

Nasdaq gained +20.98 points to close at 3050.61.  It closed right at its 30-day MA.  Its MACD was higher.

This market has spent most of this April month in a very volatile environment.  Just this week, the market almost broke down on Monday and Tuesday.  But, it shot right back up after AAPL’s earnings.  Now, we’re looking at a breakout!  VIX has sunken back below 17.  This bodes well for a strong month of May.  The Dow has already turned bullish, which could mean now the mid- and small-caps can now follow.  This also explains many of the double-digit rises after earnings.

After the market, S&P downgraded Spain and created some selling pressure on the market futures.  This could give the market a nice "excuse" to take a breathe, after rallying 40 points on SPX.  Be patient tomorrow.  Facebook IPO is also coming in May.  This market should resume higher soon.

Good night and HappyTrading! ™

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