That is a concern indeed. My thinking is to consider a small size straddle, and use some of the premium to buy cheap penny options (like weekly pennies) to hedge against a black swan overnights. One can also delta hedge/negative gamma scalp. There is also the other option that I do not have to spend money on... shitting my pants...
Another strange sign: the bonds made a new highs, but stock market did not go to the lows. The bond move was a ferocious move, triggered by the Fed meeting words. This move of bonds, coupled with what happened in stocks and in the dollar are strange. Maybe it is easy credit, yet an inflation worry move for non-dollars?
LOL i play that option way too often. it is not free BTW (gray hair and/or dirty pants and/or bad night sleep)
This is a "vacationing in Malawi" market . . . Investors are trying to avoid the next 5% decline and they're going to miss the 50% rally. Unlike in 2008, when a 5% decline was nothing . . . you can't miss the next big rally!
Regarding the upside, I currently do not see why the market would go beyond 117.5? Note that 110 is the middle of 102.5 and 117.5. Is it the reason why 110 was a battle ground?
I am not shortie, but he is contrarian if he decided to go long on friday end of day because market was down? You do not agree?
Nope -- that would be a mean reversion trader. He stated to fade the majority of the poll, which was mostly bullish.