OPTIONSMART MORNING UPDATE: Sunday Edition

1. OUTLOOK: The market ended at new 2009 highs. Upbeat reports on the labor market and durable goods orders fueled optimism about the economic recovery.upbeat reports on the labor market and durable goods orders fueled optimism about the economic recovery.Technology stocks continued to lead gainers. Apple rose to a record trading high of $209.35 amid rumors the consumer electronics giant could release a new tablet computer in January. The market is widely expected to continue drifting higher next week, a time of year when stocks traditionally perform well.

.

 and receive pre-market

real-time updates and comments!

2. FEAR GAUGE: QQQQ implied volatility unchanged.  

About Implied Volatility.  Investor fear and greed play a significant role in financial markets. The question is, how can investors measure market sentiment in an emerging market situation? How can they gauge the fear? Volatility is a well-known measure of risk in financial markets. When volatility is low, there is a lack of fear. High volatility, however, suggests a fearful markets. Volatility can be calculated in two ways. Either from historical stock price data or from current option price data. Using the second method results in an implied volatility measure. It is a reflection of fear and greed amongst a wide group of market professionals. It’s not wise to ignore this parameter.

QQQQ Feb 43/45 Debit Call Spread: Sold @1.49 on 12/24/09 with a 10.6% gain in 3 days! 

4. Learn more about our services and special offers!