Intermarket Analysis – SPX, and other Indices

Learn to trade Options with Hari Swaminathan from OptionTiger.com

Intermarket Analysis A previous post discussed a divergence between the SPX and the intermarket analysis, and in particular the TNX which is the 10-year Interest rate index. This video studies the divergence between the 4 major indices – SPX, NDX, RUT and the DJIA. This post is taken from a situation in 2014, but it’s a…

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Options Settlement – SPX, NDX and RUT

Learn to trade Options with Hari Swaminathan from OptionTiger.com

The process of Options settlement can be somewhat confusing for newcomers. The following process applies to Monthly Options. There are Weekly Options that expire at the close of every Friday.

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Priceline Trade – Bear Call Spread

Chart reading skills

Markets are marching upwards in the hope of a fiscal cliff resolution. Priceline (PCLN) has moved up nicely from a level of 550 to 673 in the past month. That’s a 25% move. The stock is currently above the upper Bollinger band of 2 Standard deviations, so I’m expecting a pullback (see Figure below). Here is a Priceline trade (Bear Call) that I’m putting on right now.

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