Volatility

Stock index futures are mixed as Austria moves back into lockdown. Travel and leisure stocks are struggling as the reopening trade slows. The Nasdaq is helped by Palo Alto Networks and Intuit earnings announcements. Cryptocurrency selloff continues. Retailers look weaker on Friday after a strong showing on Thursday.

Retailers dominate earnings announcements with Macy’s, Kohl’s, and Victoria’s Secret. Companies continue to battle higher costs. Nvidia rallies on earnings in premarket trading. John Deere settles labor dispute. China may release oil from the country’s reserves. Discount retailers could provide options for consumers dealing with inflation.

Lowe’s and Target report earnings. Visa falls in premarket trading on Amazon announcement. EV makers rally as Lucid passes Ford and General Motors in market cap. Meta, formerly known as Facebook, is staking a lot on the metaverse.

Walmart and Home Depot announced positive earnings. The Retail Sales report comes in better-than-expected. The labor participation rate has yet to recover from the pandemic and companies may need to look for alternatives.

Boeing sees increase in orders which could boost the Dow Jones Industrial Average. Dollar Tree could see a turnaround with the help of an activist investor. Consumer Sentiment hits 2011 lows. Europe recovery has been a little slower than the U.S.

Stocks struggle to maintain a five week win streak. General Electric, Toshiba, and Johnson and Johnson all announced company splits. Electric vehicle excitement has similarities to gold rush fever.

The CPI reported faster-than-expected growth in inflation which has the bond markets looking for the Fed to raise rates sooner than previously expected. Disney could be another victim of the reopening trade. Rivian makes a splash on its IPO. Commodities could be more than transitory; they could be starting a new Super Cycle.

The United States echoes China as the Consumer Price Index (CPI) reveals rising inflation. Rising energy prices continue to dog economies. DoorDash, RingCentral and Rivian are generating some interest ahead of the open. Producers are looking for creative ways to pass on rising costs to consumers.

General Electric plans to split up into three companies. Investors buying bonds despite low real yields. Producer Price Index shows high inflation at the producer level. Some companies are moving after the infrastructure bill.

The Democrat infrastructure bill pushed through the House and Senate over the weekend and is expected to be signed by President Joe Biden on Monday. The bill has prompted rallies in some related stocks like Caterpillar, Fluor, and ChargePoint. Elon Musk uses Twitter poll to determine if he should sell 10% of his stake in Tesla. The international travel ban is lifted on Monday. Moderna is losing favor with investors.

The Jobs Report showed the economy added more than jobs than expected in October. The S&P 500 and Nasdaq attempt to build on winning streaks. Pfizer announces COVID-19 pill. Reopening plays and pandemic plays are shifting after earnings announcements. Airbnb, Uber, and Square are among the peer-to-peer platforms reporting earnings. Semiconductors lead Tech sector rally. Central banks appear to rally around transitory inflation message.

Uber and Lyft look to build on drivers returning from the pandemic. The Fed announced plans to taper in November and December. The announcement didn’t address interest rates cuts. Chairman Jerome Powell separated tapering plans from interest rate plans. Small-cap Health Care stocks lead the Russell 2000 to new highs.

The Fed announced plans to taper in November and December. The announcement didn’t address interest rates cuts. Chairman Jerome Powell separated tapering plans from interest rate plans. Short-term yields have risen the most since the September Fed meeting.

Investors wait for the Fed’s interest rate announcement for more news on tapering plans. Avis Budget’s earnings announcement and an e-commerce partnership with Bed Bath and Beyond and Kroger prompting short sellers to cover. The Russell 2000 small-cap stock index is testing resistance. Zillow looks for help from institutional investors to unload unprofitable inventory.

The two-day FOMC meeting begins today. Under Armour, Conoco Phillips, and Pfizer release earnings. Health care stocks have underperformed in the face of the pandemic this year. Government policy can affect health care stocks. Biotech has underperformed as a whole, but Moderna has outperformed.

Lucid and Xpeng announced that October was a good month for electric vehicle deliveries. A tariff agreement between the U.S. and the European Union on steel and aluminum helps Harley-Davidson rise. Goldman Sachs analysts project record stock buybacks in 2022. The G-20 Summit looks at coal in the wake of energy shortages in Europe and China.

Apple earnings has investors worried about the company’s ability to make a Merry Christmas as chip shortages hurt iPhone 13 productions. Amazon misses on analysts’ estimates despite growth in cloud services. Facebook is changing its name to Meta. Starbucks lower in premarket trading. Exxon and Chevron beat on earnings estimates. Cloud has changed the way business is done.

Stocks futures are pushing back against Wednesday’s selloff into the close. Amazon and Apple report after the closing bell. Merck and Caterpillar announce positive earnings helping to push the Dow Jones Industrial Average futures higher before the open. Low market breadth appears to be holding back the S&P 500 and Dow Jones Industrial Average from building on record highs. There are several ways to measure market breadth including the advance/decline line, comparing indices, and contrasting new highs and lows.

Earnings season can create volatility in price movement. Learn how to spot potential options trade candidates by assessing straddle price versus average earnings moves.

Diversification isn’t just about stocks, bonds, and cash. When hedging risk for an options portfolio, think price, time, and volatility.

When you look beneath the Analyze tab on thinkorswim®, you may find some features you may not have known about.

Understanding the nature of volatility regimes and recognizing when it’s shifting could help unlock potential trading opportunities.

Sharpe ratio is a metric that can help you compare investments from a risk-adjusted return perspective. Learn about calculating Sharpe ratios here.

Understanding the relationships between stocks, bonds, commodities, and currencies can help you identify economic trends and better manage your investments.

Want to try your hand at short-term trading? Consider swing trading: holding positions for a few days to try to capture a larger intermediate-term price swing.

Learn how the Risk Profile tool in the thinkorswim platform can help options traders visualize different scenarios and make trading decisions a little simpler.

With many options trading strategies to choose from, how do you find the right one? Consider a three-step process to help with your decision.

Market volatility and inflation can both be effective at destroying investment value. Here’s how investors can account for both in their long-term portfolio strategy.

In technical analysis, many traders start with trend and momentum indicators. But don’t forget volatility indicators, which track the magnitude of price movements.

Options straddles and strangles are a way for advanced traders to get long or short exposure to volatility (vega), but the volatility needs to be weighted against time decay (theta). Here are the basics.

Protective puts are one way to hedge stocks against a significant price drop. But investors should consider factors such as time decay and volatility.

Do the headwinds of time decay turn you off from buying single options on volatile stocks? Find out how you may be able to turn the headwinds into tailwinds by trading those stock moves.

Successful traders have rules and stick to them, whether those rules are based on volatility, probability, technical analysis, or other factors.

Traders can use the beta-weighting tool on the thinkorswim® platform to view the overall risk of all their positions as a whole instead of looking at risks of individual assets.

Return on capital and liquidity mean specific things in finance. But they can mean something different to an option trader. Read this options trading terminology guide to find out.

Trying to select the right options strategies, strikes, and expirations? Learn how to rank volatility using IV percentiles and see if changes are normal or unusual.

Learn about “black swan” events and how you can attempt to protect yourself and your portfolio from adverse shocks.

2020 was a challenging year for investors. But 2021 might be a challenge as well—for different reasons. Here’s a look at the opportunities and risks.

Starting the new year fresh can be a great idea. Despite the drop and pop we saw last year, it may still be a good time to think about resetting your trading strategies and get a fresh start.

During a major economic event, it may be a good time to revisit your portfolio. It could mean rethinking long-term objectives, reexamining your risk tolerance, or taking a moment to self-reflect.

Selling covered calls and cash-secured puts can help investors generate additional income, increase their probability of success, decrease their volatility of returns, and lower their overall risk when compared to buying stock.

When faced with high volatility, many options traders turn to these five strategies designed to capitalize on elevated volatility levels.

Like most financial advisors, robo-advisors recommend portfolios based on investors’ long-term financial goals, time horizon, and risk tolerance. Because robo-advisors generally use algorithms to make investment decisions, they avoid emotions and generally charge lower fees.

How can skew offer insight into market sentiment? Implied volatility between out-of-the-money put and call options is almost always skewed depending on whether there’s panic to the downside or upside.

The “financial independence, retire early” (FIRE) movement was all the rage in 2018 and 2019, but the COVID-19 pandemic has changed the way we think about a lot of things. Has the upheaval in 2020 changed the desire to FIRE? And how might retirement plans be affected by the current situation?

Special-purpose acquisition companies (SPACs) have been around awhile, but they’ve gotten some new attention in 2020. Here’s a look at the mechanics and risks for investors involved in blank-check companies.

Trying to figure out your financial planning during a time of market volatility? Learn how to stick to your financial goals.

A good defense is the best offense, right? It’s sometimes true for investing as well. Here’s what investors should know about defensive investing and defensive sectors.

Are you an investor who follows the daily or weekly ebb and flow of your retirement accounts? If so, market downturns might be a bit unsettling at times. But what if instead of focusing on today’s bottom line you focused instead on outcomes—your progress toward your goals? Here’s how.

The escalating coronavirus pandemic that triggered a bear market in U.S. stocks in early 2020 looks to have tipped us into a possible recession. How can you prepare for and invest during a recession and bear market?

Learn about the Bollinger Bands technical indicator and how it can help identify volatility and overbought/oversold conditions in stocks and indices.

The monthly U.S. Employment Situation report—commonly called the jobs report—is perhaps the most closely watched fundamental indicator for traders and investors. Here’s why.

Tariffs have been part of American economic history from the country’s origins. Are tariffs good or bad for investors?

Should you switch from trading long options strategies to short options strategies when volatility levels are high? Sometimes prices are high for a reason.

All investments experience market volatility, which is why retirement portfolio strategies should focus on allocating assets across investments of different risk levels.

When companies report quarterly earnings, the stakes can be high. A single earnings miss can dent an investment portfolio that’s concentrated. Here are a few ideas for managing idiosyncratic risk.

When volatility rears its occasional head, some investors consider cashing out stocks. But are there better ways to ride out market volatility? Cameron May explains.

What is a smart-beta ETF? Explore what qualifies as a smart-beta fund and what systems define this type of ETF.

In these times of stock market volatility, many investors are looking for yield in fixed income and dividend stocks. However, there’s risk in these investments, too, so know what you’re getting into.

As trade war fears heat up between the U.S. and some of its major trading partners, some investors may be looking for tariff protection. Here are some things to consider as you aim for a “trade-war-proof” portfolio.

When volatility falls, many option traders turn to these five strategies designed to capitalize on depressed volatility levels.

Trading with your emotions during times of market volatility? Explore whether a robo-advisor may be able to help.

Looking for volatility exposure? Learn about volatility products including VIX options.

The average true range indicator could be a new arrow in your quiver of technical analysis tools.

Temporarily protect your retirement against volatility risk. Here are some retirement- planning strategies.

Got stock options? Set goals and have a plan. Here are three steps to consider for your equity compensation plan.

CD investing isn’t limited to walking into your local bank branch and opening an account. Learn the potential benefits and risks of brokered CDs and how they differ from bank-issued CDs.

Volatility data is focused on the long term. Traders are focused on the short term. There is a way to convert volatility data so it can be useful for the trader.

Does volatility worry you when it comes to the stock you've received as compensation? Learn tips to help manage this valid concern.

Here’s why you need to keep your retirement money growing even when you’re already using it (hint: inflation and longevity).

New to stock investing? Learn the basics of stocks, earnings, dividends, and how a stock’s value is determined.

The recent wave of volatility might serve as a reminder of the importance of using a diversified investment trading approach. Here are some tips to avoid possible traps in these choppy markets.

Using volatility and market statistics is one of many keys to successful stock market trading. Learn how to incorporate them into your investment strategy.

With the earnings calendar tools available on the TD Ameritrade thinkorswim Platform, you can be in the know when it comes to the earnings season.

Learn about the dynamics of foreign exchange volatility, and where to find currency volatility data.

The U.S. presidential election cycle theory of the stock market says that the market moves based on the year of the president's term. Is there any proof?

Implied volatility tends to be mean reverting. But what does that really mean? Learn how options traders can potentially benefit from monitoring implied volat

ETFs have matured but they’re not done evolving. Morningstar’s Scott Burns urges income-seeking investors to expand their minds and their research.

Volatility’s tendency to level out after a spike can present strategy opportunities, especially selling strategies found with strangles and iron condors.

Use volatility to pick an options strategy to speculate on a given direction, rather than to replace fundamental analysis and charts to determine potential.

Trying to time the market? Add sentiment analysis to your stock trading approach to help narrow the time horizon around an underlying security’s move.

Check out short-term options pricing to gain a sense of how the underlying stock could move around an earnings release. You can track straddles or use the TD

Out-of-the-money call options may be hard to trade when volatility is low, but there are good opportunities for cheaper options trades during market extremes.