Wednesday, December 27, 2006
End Of Year Rally
The usual end of year rally continued for stocks with the Dow seeing a triple digit advance and SPX added 9.94 points to finish on 1,426.84 (its "usual" because the big hedge fund managers always make last minute additions to their portfolios at the end of each year and the rest of the traders jump on the bandwagon thus perpetuationg this rally).
Our position is back at delta neutral and we are nicely in the green for now.
The big story for the day came from the November new home sales release. This data showed that home sales rose 3.4 percent during the month, which was much better than expected. What this news has done is point to stabilization in the housing sector, which helps provide fodder for those on the side of a soft landing for the economy.
Another positive event on the session came from oil prices, which fell 76-cents to $60.34 a barrel. Ironically, crude prices have fallen of late despite sanctions on Iran from the U.N. The current focus is on demand, which is expected to be lighter due to warmer weather in the Eastern U.S. in the weeks to come.
And that's it for today. I don't think there is any other major economic news this week (I could be wrong - please let me know!!) so the rest of the week should be a little more sedate!!
Anyway I'm off on holiday with the family tonight and will not be back at "work" until 2 January 2007! I will update my blog if there is anything worth updating, but if not, then I probably won't bother.
This year has been great for Easy Options subscribers with only one losing trade this year!! Most of you should have doubled your trading account. If you compounded your winnings then your returns will be even more spectacular! Let's hope that 2007 is just as kind! Thank you for all your kind messages of support and thanks. All touch me greatly and are really appreciated.
So just in case I don't get another opportunity I'll take this opportunity to wish you and your families a happy, peaceful and profitable New Year!
Until next time.
Our position is back at delta neutral and we are nicely in the green for now.
The big story for the day came from the November new home sales release. This data showed that home sales rose 3.4 percent during the month, which was much better than expected. What this news has done is point to stabilization in the housing sector, which helps provide fodder for those on the side of a soft landing for the economy.
Another positive event on the session came from oil prices, which fell 76-cents to $60.34 a barrel. Ironically, crude prices have fallen of late despite sanctions on Iran from the U.N. The current focus is on demand, which is expected to be lighter due to warmer weather in the Eastern U.S. in the weeks to come.
And that's it for today. I don't think there is any other major economic news this week (I could be wrong - please let me know!!) so the rest of the week should be a little more sedate!!
Anyway I'm off on holiday with the family tonight and will not be back at "work" until 2 January 2007! I will update my blog if there is anything worth updating, but if not, then I probably won't bother.
This year has been great for Easy Options subscribers with only one losing trade this year!! Most of you should have doubled your trading account. If you compounded your winnings then your returns will be even more spectacular! Let's hope that 2007 is just as kind! Thank you for all your kind messages of support and thanks. All touch me greatly and are really appreciated.
So just in case I don't get another opportunity I'll take this opportunity to wish you and your families a happy, peaceful and profitable New Year!
Until next time.
# posted by Paul @ 4:41 PM 
