8/22 Recap, The Reversal Is Playing Out

What a hideous day, overnight futures gapped down and couldn’t find a pulse all day. Nobody wants to be long going into friday where who knows what Powell says at Jackson Hole. I’ve been telling you for days now to start lightening up into that 200 DMA because all the technicals were rolling over and the market has fallen 5% off the recent highs in 3 days. As you can see below the MACD crossed negative and the RSI went from overbought to the middle of the range in no time. Nothing stays overbought forever.

Trade Of The Week Update

As I suggested over the weekend, I liked the technical setup on SU and today you got a gift at the open to sell the 32/31 put spreads for well over the .20 I recommended. I actually was so sure I wanted the shares I sold some 32/29.5 puts along with the 32/31 just to get more premium. The name was one of the few that closed green up almost 1% today. Great start to the week and beautiful outperformance.

Today’s Unusual Options Activity & What Stood Out