2/22/16 End of Day Briefing

Surge Trader EOD Message 2/22/2016:

Hello there Surge Traders! Bonds didn't seem to buy into the rally today, staying rather strong even as the S&P couldn't seem to break the 1940 barrier for long. The /VX however, has been crushed another $1+ in the face of continued green in the markets. So while bonds are saying we may not go much higher, the VIX is telling us we may not be going anywhere special in either direction just yet.
Just as we stated in the morning message the 1951 pivot was going to be a critical point for the S&P to break if it wanted to continue its bull run however, today it was denied at 1947 right around our critical point he highlighted. The failure of the rally today sets us up for a red day tomorrow. While there is still room for the S&P to gapup a bit more it is pretty obviously the steam of this rally is starting to run out. Earnings plays are beginning to appear more interesting as market volatility declines in the indexes. VRX, Valeant is reporting today and shows an incredible volatility of 77, which puts it in the 98th percentile as far as IV/IVr. If you're bullish on VRX, the April 55 Puts with .16 delta are selling for $2.65 which returns $8.35 of theta per day and has an 84% chance of expiring worthless.

@channel ER DATA

Allergan ($AGN):

Current Price: $284.58 Daily % Change: +3.3% IV Rank: 29 EPS Forecast: $3.37 EPS Actual: $3.41 Conference Call Transcript: http://ift.tt/1QcOpc0 What to Expect: http://ift.tt/1UihoN5

Fit Bit ($FIT):

Current Price: $16.02 IV Rank: 54 EPS Forecast: $.20 What to Expect: http://ift.tt/1VyIONa

Valeant Pharmaceuticals ($VRX):

Current Price: $77.00 IV Rank: 100 EPS Forecast: $2.59 EPS 1Q2015: $2.59 What to Expect: http://ift.tt/1QtLnvM

Tomorrows Notable Earnings:

Home Depot ($HD):

Current Price: $122.48 IV Rank: 40 EPS Forecast: $1.10 EPS 1Q2015: $1.00 What to Expect: http://ift.tt/214VX45

Macy's ($M):

Current Price: $40.86 IV Rank: 60 EPS Forecast: $1.86 EPS 1Q2015: $2.44 What to Expect: http://ift.tt/1QcOs7r

Submitted February 22, 2016 at 04:54PM by FirstAlways http://ift.tt/1KFaiAv