Wednesday, January 14, 2015

VIX Moves to Overbought Levels...01.14.15

Bad earnings by JPM whacked the financial sector hard while weak retail data dropped the big boxes,
The DOW was off 350 at one point on accelerating volume although there was recovery into the last hour and in the  after hours session.  As I mentioned yesterday's M3 post its all about earnings for the next week or so and options expiration this Friday will only exacerbate the current volatility,
Best recommendation for now,,,trade small or be willing to accept above normal risk,
Not surprisingly, XLU (utilities) was the strongest sector intraday (see Vega below)