What we do here is analyze the most popular stocks during the week and find opportunities to either join in and ride these momentum names higher, or fade the crowd and bet against them.
We use a variety of sources to generate the list of most popular names.
There are so many new data sources available that all we need to do is organize and curate them in a way that shows us exactly what we want: a list of stocks that are seeing an unusual increase in investor interest.
From the Desk of Steve Strazza @sstrazza and Alfonso Depablos @Alfcharts
This is one of our favorite bottom-up scans: Follow the Flow.
In this note, we simply create a universe of stocks that experienced the most unusual options activity — either bullish or bearish, but not both.
We utilize options experts, both internally and through our partnership with The TradeXchange. Then, we dig through the level 2 details and do all the work upfront for our clients.
Our goal is to isolate only those options market splashes that represent levered and high-conviction, directional bets.
The former 2011 highs remain front and center for gold futures – and all precious metals.
These shiny rocks will experience increased selling if gold slips back below those former highs marking the prior commodity supercycle peak.
Silver, palladium, and the Gold Mining ETF $GDX are already printing fresh lows. And new multi-month lows for the silver/gold ratio indicate dwindling risk appetite.
These aren’t the type of developments that support a sustained uptrend.
Yet this action hasn’t deterred gold bugs.
Despite every reason to sleep in and shirk any and all responsibilities, they continue to show up right on time…
While the bull market in U.S. Stocks continues to be discovered by all the latecomers here in the States, the strength in International stocks continues unabated. Some of the strongest moves have been happening beyond our shores.
Today's trade leverages cheap options volatility for an attempted run back towards all-time highs and beyond.
The former 2011 highs remain front and center for gold futures – and all precious metals.
These shiny rocks will experience increased selling if gold slips back below those former highs marking the prior commodity supercycle peak.
Silver, palladium, and the Gold Mining ETF $GDX are already printing fresh lows. And new multi-month lows for the silver/gold ratio indicate dwindling risk appetite.
These aren’t the type of developments that support a sustained uptrend.
Yet this action hasn’t deterred gold bugs.
Despite every reason to sleep in and shirk any and all responsibilities, they continue to show up right on time…
