The key inflation figures came in slightly below the expected and the market did an insane rally.
Is this the end of the bear market?
I highly doubt it. The inflation is still very high and the interest rates are also relatively high. Companies are still laying off their employees and there are still major geo-political issues around the world. To top it up, the price of oil remains high, which continues adding further pressure on household budgets.
So in short: I would caution everybody from going all in with bullish trades.
So what's my trade for today?
#AMD (#AdvancedMicroDevices). It's another relatively safe trade to protect my portfolio against the huge swings I am expecting to see in the short-term. I selected very wide strikes so I am very comfortable with this trade.
AMD Daily Chart
Trade Type: Short Strangle
Strike: $55 / 85
Expiry: 16 Dec
IV Rank: 28.7
Cap Req: $684
Annualised Prof at Expiry: 178%
IMPORTANT: Studying previous trades provide the opportunity to everyone to learn a great deal so I encourage you to click on the links below and digest the info.