Options Alert for 1/1/2019

THE DARWIN MARKET ANALYSIS IS TRENDING | DOWN

The Darwin Investing Network Analysis shows that the S&P 500 has negative volume flow. This means that volume is pushing markets lower as more investors are selling on the bid price. This means that traders and investors alike should favor bearish markets, with bearish sectors, and bearish positions. Or conservative traders can merely sit on the sidelines out of the market till more faveorable volume comes back.

THE DARWIN STOCK PICK FOR TODAY IS KBE

Volume flow analysis has shown that in the current market enviroment Banking is a shorting opportunity. Traders should favor bearish positions with KBE and look for selling or shorting setups and opportunities, however implementing with options right now so as to mitigate market dead cat bounces.

The KBE is a representative of the performance of the S&P Banks Select Industry Index. The index mainly tracks publicly traded national money centers and leading regional banks.

Trade smart,

Paul "Bulldog" Hudson, Chief Investment Officer
Darwin Investing Network