The volatility index hit lows not seen in eight months. The Jan. 20 calls were flying off the shelf today, anticipating a rocky start to the New Year? We’ve all quickly dismissed the Hindenburg Omen for its failure during its last appearance. A low VIX in combination with the new Omen signal, may not be beneficial to the markets. In addition, post option expirations are known for a bit of a counter trend fade. However, the action today had a holiday feel to it and POMO continues to support the market. The bulls have seasonality working for them and will be hard to bet against them for more than a few hours to a day.
P.S. I was stuck in the company Christmas lunch and miss all the chat buddies and wish everyone a nice weekend. Thanks again Jeff, for hosting the room.
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