Where to Focus: The Ups and Downs of Stock Market Averages

Tom Gentile

Posted in
Big Picture

By: Tom Gentile
March 25th, 2022

2 mins read

The markets have endured despite all that’s going on in the world. The two biggest issues it seems are the Russia Ukraine war and on the home front the prospects of multiple more short-term interest rate hikes which could be of the half-basis point variety starting as early as May has caused the market to trade in a back-and-forth manner: up one day, down the next.

The trends, higher and lower haven’t been the smoothest and volatility is still something options traders have to deal with. Implied Volatility of options isn’t as high as it has been, but there are still situations where the short-term IV is a bit elevated and one still has to be aware of that when deciding which options to pursue.

Here is the Money Calendar image for this week:

Money Calendar 03 24 22

The markets have traded in a choppy manner with one day trading lower only to see buyers step back in take the markets higher.

With Money Calendar I am not worried about the chop so much so long as at then end of all that back and forth the security moves in the direction the data shows it has done 9 or 10 of the past 10 years.

The top performing sector as of late has been Oil and Energy. In fact, I have written about the seasonally bullish pattern in Oil and Energy that takes place between mid-Feb. to mid-July for the past handful of years.

Whether you are looking at scans in my online suite of options analysis tools, www.tomsoptiontools.com such as Money Calendar, Darknet or the Morning Reports lists if an oil stock is on a list and it catches your eye it might be worth researching a bit more or talking with your brokers about the suitability for the security or an options trade on it in your portfolio.  

App: Toms Option Tools

Market Insight articles may show images of lists of stocks meeting a variety of options parameters like Unusual Call and or Put activity or Expensive IV found on my app Toms Option Tools.

Other times I will have other charts may work to amplify my educational points. 

Those options data lists, however, can be found on my app Tom’s Option Tools. Use your device to search up and download this app and get free access to the Morning Reports section of the app.

Other parts of the app are available at a premium subscription rate, but the Morning Reports Lists are yours free.