Volatility

One day before the start of earnings season, a pause in J&J’s Covid vaccine due to blood clots is weighing on “reopening stocks” early on. However, trading could be slow and muted today ahead of the big bank earnings due first thing Wednesday.

The new week picks up where the old one left off—with markets in slow motion ahead of earnings season. Big banks including JPMorgan Chase, Wells Fargo, Goldman Sachs, and other megabanks report later in the week.

Futures activity this morning suggests the S&P 500 Index may take another page out of this week’s playbook by rising a little bit yet still closing at a record.

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

Tech-related megacaps look to be back in favor, and investors seem confident in the market given the Fed’s reiterated easy monetary policy stance.

Stock markets appear to be flat ahead of the open with investors eagerly awaiting Fed minutes later today. Tomorrow’s initial jobless claims is another piece of data investors are likely to focus on this week.

The News is Out: With Slim Pickings on Data Front, Focus is on Fed, Infrastructure, Vaccine Progress

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.

Three days later, the market finally gets a chance to react to Friday’s jobs report, and so far it appears to be getting a nice reception. Earnings are light this week, but key data include Fed minutes and ISM non-manufacturing. VIX and yields relatively steady.

The new quarter appears to be starting firm, right where the old quarter left off, amid support from the infrastructure plan and Micron’s earnings. The market is closed for the holiday tomorrow, but all eyes could be on the payrolls report.

The last trading day of the quarter could feature focus on Washington as President Biden unveils an infrastructure plan. Micron reports later today, and investors await employment data on Friday.

The reopening of the Suez Canal appears to be putting pressure on crude, while stocks see pressure from rising yields. Key earnings later today are expected from lululemon and Chewy, with Micron tomorrow.

The final week of Q1 is going to be jam packed, with the market coming just slightly off of Friday’s fresh highs. Media stocks could be in the spotlight again, with pressure possibly extending to Financials.

While the market has been encouraged recently by the vaccine rollout in the United States, snags in Europe have kept that optimism in check and contributed to some of the volatility we’ve been seeing.

Better-than-expected weekly jobless claims add some optimism in the stock markets but the blocking of the Suez Canal is likely to further disrupt supply chains and put a dent in global trade.

Year-to-date, value stocks have been outpacing growth. Whether that trend continues in April could depend on Treasury yields and the pace of vaccination progress.

Markets seem to have calmed in the early going after a Tuesday selloff that hit the Industrials and Materials sectors, as well as crude oil and the small-cap Russell 2000. The heads of Treasury and the Fed enter day two of virtual testimony on Capitol Hill.

Although stock markets have rallied strongly since a year ago when markets hit the Covid selloff low, investors remain cautious. Powell and Yellen take the spotlight today as investors await to hear their comments about the economy.

The benchmark 10-year Treasury yield has risen seven consecutive weeks, and it’s this number that could continue being the day-to-day force driving equities higher or lower. Existing home sales due later this morning, and Powell heads to Congress tomorrow.

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.

It's quadruple witching day in equity markets, but it seems all eyes are on the bond market, as the waves from this week's Fed meeting continue to reverberate. A slight pullback in Treasury yields has stocks pointed higher in the early going.

The relentless rise in Treasury yields continues, putting pressure on the Tech sector. Volatility is back up as uncertainty spikes following the Fed meeting and ahead of quadruple witching.

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.

February begins with investors focused on the Fed’s latest observations, progress on vaccinations, and the fight in Congress over a new stimulus.

Looking ahead to this week’s earnings report and conference call, investors likely will want to hear more details about production and a recall request from U.S. regulators.

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.

It’s been a wild year on Wall Street, but December could bring a bit more calm. The market is roughly balanced between hopes for 2021 strength thanks to vaccines, and worries about mounting virus cases and slipping economic data.

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.

The night of Nov. 3 and any aftermath of the election is likely to set the tone for November. Look for possible “risk-off” trading if results are close or contested, but also be on the watch for retail earnings, the Fed, and possible vaccine data as the month continues.

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.

Study intermarket analysis, specifically bonds, for potential clues on the next leg for Federal Reserve policy and stock market reaction.

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.