Today we hear from the Fed chief Yellen at Jackson Hole Wyoming. All I know about Jackson Hole is that is where Gerry Spence is from who happens to be the best trial attorney ever. (If you have not read his books take some time and read them)
Did I digress:) Ok what to expect from Yellen today? My guess is a rally. Yellen is far from a Hawk and I think she will dispel fears of a September rate hike. This most likely will set up a Friday relief rally which should give us some opportunity for short-term swing longs.
The Stock Market is about unchanged 30 min before the open. Overnight lows were around 2167 on the ES and we have rallied a bit from there.
Not much new on the GeoPolitical front unless you think a Navy Boat firing 3 warning shots near an Iran Boat is significant. If one had to put odds on something breaking out between the U.S. and Iran in the next few months I just wonder what it would be. Nothing major but the entire area is a powder keg now. Adding Iranian vessels being aggressive sure raises the odds.
Again, if something does happen, expect the markets to react violently to the downside with Gold and Oil blasting off to the upside.
If I had more time this morning I wanted to discuss playing angles in the Stock Market. Unfortunately, I am behind the curve this morning so I will have to save that for another day. But the gist of it is whether playing angles is something that has positive EV in stock trading. And if so secondarily can an individual investor get an edge considering that computers with massive processing power and automatic execution are doing just that.
I have two positions on now. Gld which had a nice profit but is now around break even and a Sept 30th Call on a stock that I feel have midrange swing potential. That is it. Although once we get deep into September I plan on making more midterm swings as opposed to the very short-term swings I have taken now.
If you want to follow some of my trades along with my thoughts typically given after the open you can go to @rickjswings. It’s my private twitter feed for the stock market and its free. Sports Handicapping is the subscription-based part of this site. But considering the cost of joining it’s almost free:)
Good Luck Today
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