Home Stocks Trading Advantage Stocks – Volume & Volatility, Thin

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We had a fairly flat trading session on Friday. The DJI and SPX finished down slightly while the COMP was barely up a fraction. It seemed traders took the day off for Veteran’s day as volume and volatility were very thin. I expect trading to pick up at the start of this week and I want to throw a bit of caution out there. Volatility has picked up. VIX and VXX activity has also woken up. When there is volatility in the markets, that usually is followed with risk off trading. It wouldn’t surprise me to see a touch of weakness this week. Lord knows we need a decent pullback in the markets. With very aggressive sell offs in the bigger stock names on the downswings we have seen marks them as higher risk opportunities at the moment. What I am suggesting now is to look over positions and consider risk off if the markets get weak in the near term. You could also take some hedging products like the VIX or look for short signals to jump on. Anything to deaden the blow your portfolio may take if the markets actually go south. While the bulls are incredibly strong and resilient, even the perma bull knows that the tax reform was a major reason for the recent rally. Considering the markets weren’t the happiest on the details, that could be enough reason for buyers to start cashing in. And if the big money is taking profits, then you should strongly consider doing the same. Just because Christmas is around the corner does not mean we will have a Santa Claus rally. That may have already come and gone ladies and gentlemen.   Open Position: AMP RHT NKE SWKS AAPL FB OSTK RL Stocks to Watch: TWTR CTXS NTAP JBL HLF WFC  JPM MS NFLX WDC DIS SBUX STZ NKE LULU CREE VZ T HOG MON YUM LOW HD LEN TOL FEYE PANW FFIV AKAM


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