It’s inescapable. If you haven’t read it in the news, seen it on Twitter, or heard it from a co-worker, here’s the scoop…
The euro has tumbled to parity with the dollar for the first time in almost 20 years!
That’s the big news in the currency markets these days. Sure, it’s a significant development.
But what currency isn’t falling against the US dollar right now?
It’s an interesting question. And it draws our attention to the Canadian dollar.
Let’s take a look.
Here’s a chart of the USD/CAD cross:
While the US dollar steamrolls everything in sight and prints fresh decade-highs against most major currencies, it’s still dealing with last year’s highs against the Canadian dollar.
Volatility still remains relatively high across the board, with this morning's trading action further boosting it.
I'm on the hunt for some delta-neutral, short-premium plays to take advantage of this environment. But the trick is finding an instrument that is showing signs of potential range-bound action. Too many of my go-to sector ETFs are trending (mostly lower) and trends are the enemy of delta-neutral strategies.
I had to dig a little, but I think I found the right instrument for us to earn some options premium in.
The long-awaited James Webb Space Telescope images...
Moments like these are not only significant for the scientific quest. They also deeply change the human condition and what we think is possible.
When Copernicus discovered the heliocentric model -- that the universe doesn't rotate around Earth -- it humbled humanity.
When Newton discovered that the motion of the celestial bodies followed strict laws of mathematics, it gave a seemingly entropic universe order.
When man landed on the moon, it changed our entire perception of what's possible.
And when the Hubble Space Telescope and the more recently launched JWST send back awe-inspiring images, it gives us a perspective of the cosmos we've never seen before.
It's all about knowing what environment we're in and adjusting our tools and strategies accordingly. In environments like these, buying into breakouts is a dangerous game.
I'm away for a few days enjoying Wisconsin’s Door County Peninsula. It's been great to camp and explore in what is widely known as “the Cape Cod of the Midwest.”
I'll be back Thursday for our regularly scheduled Town Hall but in the mean time, here's a quick look at our latest Bull Market Re-Birth Checklist.