Today the market responded to the law makers of the land getting their house in order. The markets shot straight up, except for the Dow, which was weighted down by a poor earnings report from IBM. The only way to describe the Nasdaq…is that it is on fire!
This morning for example, Netflix (NFLX) received a pretty dismal report from Barons, where they reiterated their Underperform rating and provided a scathing review. But curiously they raised their price target to $140 to reflect some semblance of reality, with the current price sitting at 332. Do ya think there’s a disconnect there?
We are maintaining an Underperform rating on Netflix, but raising our 12-month price target to $140 from $80 to reflect multiple expansion for peers.Barrons
But I digress, as this was a bit frustrating for us, as we had a nice tidy profit, so long as price stayed below 325 in the comfort of our Iron Condor profit tent. But noooo. Netflix shot up today, being swept away by the Nasdaq rising tide, and gained +7.22 or +2.24%, blasting through the condor wing. Fortunately we exited early on, seeing the mad rush, and eeked out a closing profit of $0.25.
Well practically free. With volatility so low, it would have been criminal not to sweep up some VXX in a credit spread. There’s nothing more satisfying than being able to take advantage of volatility swings, especially with a pure play like VXX at a multi-year low.
Here are the closing trade results for today, commissions and other costs are figured in:
We added the following trades today:
What is your take?