This is a chart of the S&P Futures (ES!) showing a declining wedge pattern. While technical analysis is admittedly down on the list of my personal trading hierarchy, I think this particular formation is presenting some interesting implications and possible trade ideas.
Macro factors not withstanding, I wouldn't be surprised to see either A) more channeling...
... for a 22.38 credit.
Comments: In for a 20.34 debit (See Post Below); out today for a 22.38 credit via a good until cancelled order to take profit at 110% of what I put the trade on for. 2.04 ($204) profit; 10% ROC for 5 days' "work."
Ever seen a "Brazilian Zebra"?
Pictured here is an ITUB (35/76) Zero Extrinsic Back Ratio Spread (hence the colorful acronym, "ZEBRA") in the Brazilian financial, ITUB. Since Zebras are high delta directional plays, they're seen as synthetic stock substitutes and can be deployed both on the call side (long), as well as on the put side (short), with the general...
