🚗AMZN Beat as SPX Coils, Waiting to Strike

[] [The daily rundown of everything happening at Option Pit.]( The "rift-and-snap" trade trend has delivered wins of 54%, 33%, 27%, 24% and 11% in just the past couple of weeks. And more are on the way. Mark Sebastian explains what to expect -- and how to trade them -- [when you click here.]( MARK-et Open Griff here with the Chart of the Day. A massive beat by Amazon Inc. (Ticker: AMZN) has the stock $10 higher in post-market trading. This provided the excitement for the day as SPX coiled tightly between its volatility trigger (4,520) and its largest absolute gamma strike (4,500). [ The probabilities continue to favor a trade lower as long as price remains below the Vol trigger. However, with AMZN and AAPL earnings plus Friday’s employment report we should see a significant move away from this area in the days ahead. Let's Go! [ [ - OPM(DIV+) IBM Aug18 135/145 call spread, 120 puts, 100 shares closed for a 5% gain Want to find YOUR winning fit? Give our Customer Care Team a call at 1-888-8772-3301 Monday-Friday from 9 a.m.-5 p.m. EST. Or email them anytime at [support@optionpit.com](mailto:support@optionpit.com?subject=) Option Pit EXCLUSIVE: Downgrade Coverage and Trades Below Yesterday, Andrew Giovinazzi, Bill Griffo and Licia Leslie broke down what happened during the first trading day of the U.S. Credit Downgrade — and unlike the mainstream media — explained what that means for your trading … and how you can profit. They even gave away 1 trade each + a bonus trade. (4 free trades total!) [Click to see the video and see the trades that they opened….]( [13).gif]( AG's Views: Treasury Bonds Vol Still Up Midday From the desk of Option Pit Director of Education Andrew Giovinazzi Vol in Treasuries, iShares Barclays 20+ year Govt Bond ETF (Ticker: TLT) was still carrying a mild bid with rates going up again after the downgrade by FITCH. That is different from VIX. [ TLT 4 day chart with IV on the bottom chart VIX could not carry the bid after spiking this am. [ VIX 10 day chart It looks like VIX will once again have a higher low than the day before. At least for now, traders are still willing to pay for options. Mark and I think next week's strangles in SPX are relatively inexpensive. The bid for VIX and SPX vol is still there meaning SPX will likely move. Will AAPL save the market? Stay tuned! - AG P.S. By the way, "rift-and-snap" trades happen all the time. But can you spot them? Mark Sebastian does on a daily basis -- and that makes it easy for you to profit. [Check it out here.]( OPTION PIT GLOSSARY [( There are plenty of terms in the trading world that need defining. The [Option Pit Glossary]( is here to help. Today's phrase is: Backwardation: The condition in a spread where the front-month value is higher than the back-month value. [( 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 [Unsubscribe]( or [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]( This email was sent by support@optionpit.com to {EMAIL} Click here to unsubscribe | [Manage Preference]( Option Pit | 190 S LaSalle Suite 3000 Chicago, IL 60603