April’s jobs report was released this morning and was below expectations. This sent the market into a falling tailspin across the board. The Dollar UUP and Bonds TLT were up on the day as well as slight gains in Gold GLD and Silver SLV. One of the extreme moves of the day was in oil which got 4% of its faced ripped off. This put the USO on its back at the 200 day moving average where it did find support for now.
Yesterday I tweeted out and posted on Facebook that I was picking up some IWM puts in both the May and June expiration. I closed the May contracts today for a 60% gain and am still holding the June contracts and looking for a potential move to the 200 day moving average around the $75 level. Be sure to like us on Facebook and Twitter so that you can participate in some of these trades. I would also love to hear from those who took that trade with us so comment on this post now!
In today’s video, I take a look at some downside targets in the market and a couple plays I’m looking for next week. I am in a “short the rally” mode for now and am eying some credit spreads in a couple names. If we can get some early strength next week I would look to start adding some puts on weaker names so stay tuned.
Weekly Market Wrap Video Transcription:
Welcome to the StockOptionAssassin.com’s weekly video for Swing Trading Options. Today is Friday, May 4th 2012, and we’re looking at the market today. Basically, we fell of the cliff after the jobs report this morning. Expectations came in lower than expected. This was flagged earlier on Wednesday when ADP numbers were less than expected.
I’m not very surprised that this happened. I was actually…