John Carter of Simpler Options reviews key markets for Friday, June 20, Options Expiration.
Quad witch is on Friday and Carter expects a grind higher.
Carter starts with uncorrelated assets and points out the daily squeeze in cattle which could signal another move to the upside.
Markets took a dip on Thursday but there's a stark difference between a trend change and a pullback.
John Carter of Simpler Options reviews market action and stocks on his watch list.
The yen and bonds have both had significant shifts while TSLA & MMM continue to work well. The FXY really stands out and Carter is looking for a squeeze to the downside and break and therefore will buy puts. The implied volatility is real low so you can go out to July and potentially make a double on this one. Should the yen continue to move lower, stocks will move higher and these are the names Carter is looking at. Looking at re-entries for another trade in FedEx. MMM continues to act well, but TSLA seems to be running out of gas and that is why involved with the call spread. Carter will be holding positions through the split in AAPL.
Overall the futures market is relatively quiet as we kick off the month of June on a big data week in the U.S. and China.
As of last week, the yen continues to be a key driving factor and here is what John Carter is following for the currency in relation to stock indexes along with updates on existing positions.
Today's Hot Topic winds down the week with fresh positions and a review of the old, along with an outlook for short week ahead.
Tuesday's correction had some conviction and we could see that carry over into Wednesday. Here's the tickers I'm trading inside that.