Traders down right freaked out into the close

Daily Pit Stop [fstp, logo, header] August 22, 2024 [ag views, logo, header] Traders down right freaked out into the close  Color me surprised that our Yield Zone closed negative for the day. Fed Chair Jerome Powell speaks at 10am Friday ET and i cannot guess what he is going to say that is any different. Now there might be a window where traders are freaking out from 930 to 1030 am but for the most part what is he going to say? The DNC just proposed 1.7 trillion in new spending the USGOV does not have. How are rates going to drop? The crosscurrents sent stocks down plus Microsoft Corp (Ticker: MSFT) sending out some cloud warnings. I was surprised that the selloff held all day. [ded] Is this the start of the a new Vol Regime where VIX picks up steam? We will not know until 10:30 am ET but my guess is SPX will be off to the races again. The Yield Zone is in a light negative with SPX realized volatility diving. I guess it is going to be a big speech. - AG  [logo, pit profits] Want to find YOUR winning fit? Give our Customer Care Team a call at [1-888-872-3301](tel:/1-888-872-3301) Monday-Friday from 9 a.m. - 5 p.m. EST. Or email them anytime at [support@optionpit.com](mailto:/support@optionpit.com)  [fomo, header, logo,] Target earnings go through the roof, Jpow doubles down this week Yo Pit Crazies, [Mark and Hannah went live to run the Yield Zone strategy. Mark thought it up, Hannah explained it so you can listen to it.]( One thing about the stock market is that it will surprise you. I have been doing this for 35 years and the only thing that does not surprise me is, well, nothing. Nothing surprises me when it comes to stocks. Target Corp (Ticker: TGT) I have not stepped foot in years but somehow consumers are still spending money big time. Another narrative was that the consumer was dead. It appears to be not the case as Walmart Corp (Ticker: WMT) blew the doors off too. [ded] TGT 3 Month chart with 1 day candles I saw on Fintwit, and I believe this myself, that Boomer parents are helping the kids out with bills. I have very little anecdotal evidence but that is my thought. The Boomers cannot spend all the dough the stock market gave them so they are helping out. TGT after today is up around 15% in 2 years, WMT up near 50%. I own WMT and I do not own TGT. I highlight this because the Fed does not need to lower rates if the consumer is spending more. Traders are likely feeling this too since the stay the course policy has pushed stocks up even as it has punished Uncle Sam which I believe is the intention. With the FOMC down, but Jackson Hole to go, traders are still on edge. [See why here.]( - AG --------------------------------------------------------------- Want to get Mark's Trader's Edge updates directly to your inbox?[Click this link to sign up!](  Get all your DC Insider info inside of Frank Gregory's "Power Moves" Newsletter. [Click this link to sign up!]( --------------------------------------------------------------- Don't miss when our traders go live! Get an alert everytime we open the live rooms to all of our readers for free by selecting the calendar you use below. Add Option Pit Live Events to Your Calendar [Apple]( [Google]( [Outlook]( [Outlook.com]( [Office 365]( [Yahoo](   [glossary, logo] There are plenty of terms in the trading world that need explaining. The Option Pit Glossary is here to help. Today's phrase is:  Cash-secured puts - A sell-to-open short put where all the margin necessary is in the account to buy the stock at the strike price. [ftsp] All the Right Options. The Option Pit Team brings more than 150 years of experience to you every day. From the trading pits of Chicago to the world's largest banks to the halls of power in DC -- they've done it all. Now they’re collectively focused on one thing: making YOU a better, more profitable trader. Click the button below to schedule a call with our concierge Customer Care Team to find your best fit today. DISCLAIMER: FOR EDUCATIONAL AND INFORMATION PURPOSES ONLY; NOT INVESTMENT ADVICE. The materials presented from Option Pit LLC are for your informational and educational purposes only. Neither Option Pit LLC nor its employees offer investment, legal or tax advice of any kind, and the analysis displayed with various tools does not constitute investment, legal or tax advice and should not be interpreted as such. Using the data and analysis contained in the materials for reasons other than the informational and educational purposes intended is at the user’s own risk. DISCLAIMER: OPTION PIT LLC IS NOT AN INVESTMENT ADVISOR OR REGISTERED BROKER. Option Pit LLC is not responsible for any losses that may occur from transactions effected based upon information or analysis contained in the presented materials. Specific trading ideas or strategies discussed in the presentations or materials are entirely illustrative and do not constitute the solicitation of a transaction (or transactions) or a recommendation to execute a particular transaction or implement a particular trading strategy. DISCLAIMER: TRADE AT YOUR OWN RISK; TRADING INVOLVES RISK OF LOSS; SEEK PROFESSIONAL ADVICE. To the extent that you make use of the concepts with the presentation material, you are solely responsible for the applicable trading or investment decision. Trading activity, including options transactions, can involve the risk of loss, so use caution when entering any option transaction. You trade at your own risk, and it is recommended you consult with a financial advisor for investment, legal or tax advice relating to options transactions. Want to change how you receive these emails? You can [Update your preferences]( This email was sent by support@optionpit.com. 1-888-872-3301 [Option Pit]( | 190 S LaSalle Suite 3000 Chicago, IL 60603 | [Privacy Policy](