Tim Bovee, Private Trader: Friday's Finalists

Friday, January 2, 2015

Friday's Finalists

Of the two symbols, both bear signals, that made it past the early rounds of analysis (see "Friday's Prospects"), SNI failed confirmation, moving back within its 20-day price channel.

The finalist, RICE, confirmed the signal by trading lower. However, it runs afoul of my preference for bid/ask spreads on options of under 10%. RICE comes in at 13%.

I won't be opening any new positions based on the signals from Wednesday's markets.

Looking forward, Monday's analysis will be based on today's session. I expect low volume today as traders extend their holiday to bridge the gap to the weekend. The next significant trading opportunities will come on Tuesday, Jan. 6.

The next earnings announcements with sufficient liquidity for a very short term volatility play will also provide opportunities on Tuesday. The symbols up for consideration are SD and MON.

The likelihood in brief: Lazy Friday, Carefree Weekend, Lazy Monday, Back-to-Work Tuesday. I'll be glad to see Tuesday come. For someone who enjoys trading as much as I do, the extended break of the winter solstice holidays is a bit -- well, boring.

-- Tim Bovee, Portland, Oregon, Jan. 2, 2015

References

My shorter-term trading rules can be read here. My longer-term trading rules can be read here. And the classic Turtle Trading rules on which my rules are based can be read here. My volatility trading rules can be read here.

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Disclaimer

Tim Bovee, Private Trader tracks the analysis and trades of a private trader for his own accounts. Nothing in this blog constitutes a recommendation to buy or sell stocks, options or any other financial instrument. The only purpose of this blog is to provide education and entertainment.

No trader is ever 100 percent successful in his or her trades. Trading in the stock and option markets is risky and uncertain. Each trader must make trading decisions for his or her own account, and take responsibility for the consequences.