First, Diversify

Essential Market Forecasting Tools

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Traders benefit from understanding market trends that repeat over time While the saying “history repeats itself” may seem like a nauseating cliche, it often holds true in economics, finance and trading. Take the example of positive drift in the stock market, which suggests that an aggregate index of stocks will continue to rally over time. … Continued

Sector ETF Slumps, Volatility Curve and Debt Instruments

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Monday Sector ETF Slumps With last Monday’s large sell off, the hardest hit sectors in the S&P 500 were Energy, Financials and Consumer Discretionary. Volatility Curve Below is a current snapshot of the VIX futures. /VX and /VXM are the VIX and Micro-VIX futures respectively. /VX is $1000 per 1 move, whereas /VXM is $100 … Continued

Futures-to-ETF Cheat Sheet

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Here’s a handy guide to convert your favorite futures to ETFs! The free weekly Cherry Picks newsletter from tastytrade is stuffed with market research studies, data-driven trade ideas, and unique insights from the geekiest of geeks. Conquer the market with confidence … get Cherry Picks today! Cherry Picks is written in collaboration with Michael Rechenthin, … Continued

Lighting up Cannabis Futures

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Bullish or bearish, most traders have an opinion on pot stocks, and those opinions have manifested themselves in the volatility of the prices. Tilray Inc. (TLRY), for example, has seen prices as low as $2.50 and as high as $215 in its short three-year lifetime on public markets. It’s currently trading for roughly $15. While … Continued

Cherry-picking Inflation

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Inflation is in the news a lot lately. Check out the Google Search spikes. Google Trend searches are measured 0-100 with 100 being the peak of searches for the measured time frame. Clearly, inflation’s on everyone’s minds… So how would we play for inflation or at least add some inflation defensive positions? One possibility is … Continued

The Futures of Technology

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A new futures product helps investors balance exposure to tech stocks The line between retailing and technology has blurred. Who can decide whether to call Amazon a retailer or a tech company? What about Target? In certain cities, Amazon offers in-person shopping while e-commerce represents almost a fifth of Target’s revenue. But classifications aside, the … Continued

Tips for Trading Microchips

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Semiconductor stocks offer high volatility and extraordinary liquidity Tech stocks were the market to buy in 2020. While Covid-19 crippled many sectors, technology stocks bloomed with a 40% rally from the start of 2020 to the beginning of this year. (See Active market, big potential, below). But “technology” has become a catch-all term, so let’s … Continued