ARK Innovation ETF (ARKK) recently gave both a McMillan Volatility Bands and Put-Call Ratio buy signal and broke it's recent downtrend; therefore we expect higher prices for the etf. See the charts below.
We have completed the Profit and Loss and Rate Of Return calculations for 2020. The following table sums up one of the best years in our history – the best since the 1990's in percentage terms (+42.2%), and the best ever in terms of total profits (+$146,830). We will soon be sending out a detailed article discussing the various facets of these rather broad categories.
Join Larry McMillan as he discusses the current state of the stock market on Monday, June 7th, 2021.
Normally, we have “Naked Put Writes” in this section of the newsletter. But with the explosion in implied volatility and stock price in several “short squeeze” stocks (or “meme stocks,” if you prefer: a meme stock is any publicly traded company that is benefitting from the fact that investors are using social media to drive interest in the company's shares).
The following table shows the current status of the most expensive of these in terms of implied volatility:
Salesforce.com (CRM) just gave a weighted Put-Call Ratio buy signal today. Past signals in this stock have been decent, but this signal looks promising with break out of the recent downtrend. See the charts below:
The stock market has run into considerable resistance at the top of the trading range, as it appears to be consolidating for a violent move either an upside breakout to new all-time highs, or a failure at the top of the range, leading to a swift retracement to the bottom of the range (4060). Since May 24th, $SPX has not closed above 4208 nor below 4192. That is an extremely narrow range, considering the volatility that has been displayed since February 2020.
AMC Entertainment Holdings shares are once again exploding, having been caught in a short squeeze.
The stock’s realized and implied volatilities are soaring. AMC at one point today more than doubled. There are two options strategies, below, to try to capitalize off this uncommon move. (Note that the data in this article are as of the close of trading June 1.)
Join Larry McMillan as he discusses the current state of the stock market on Tuesday, June 1st, 2021.
Stocks continue to push higher, towards the all-time highs at 4238. The pace of the advance has slowed, but there has been some improvement in the internal indicators that paints a more bullish picture in that regard than we've seen in some time. However, if resistance at the old highs holds, then there is a distinct possibility of a retest of the lows of this trading range, at 4060. A move to new highs or a drop below 4060 should propel a stronger move in the same direction as the breakout.
