Daily Trading Videos on Options, Stocks, Futures, Forex markets

Buying More Here or Tightening Stops?

July 15, 2016

Today I cautioned traders in the SO trade room that this was, in my opinion, no place to be initiating new long positions for anything other than day trades. The reason is twofold... (1) Tomorrow is Monthly Options Expiration, and (2) The trade is increasingly choppy and tight, with the highs coming in overnight. At the end of the day there is a lot of chop out there at this time. See Crude, Soybeans, Currencies, etc. as examples. My advice is to keep it light and tight through the expiration, and plan to go fishing for new opportunities next week. Until then, Good Trading.