As I expected, Chinese loan data came out well below consensus. Credit conditions are tightening. Not good for risk.

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Tech Trader's been gradually rotating back into Energy this week: $PBR, $EQT, $FTI, $SM
Looks like it was a play into the oil report today, which caused the energy sector to flip from negative to positive this morning.

Tech Trader overall (if you look at the chart from yesterday) is now mainly long Energy, Consumer, and Healthcare.  Again, exposures are at year highs now with longs at 96% and shorts at 33%.

$PBR and $EQT are old favorites of Tech Trader; been in and out of those since March.  $FTI and $SM are new ones picked up from risk reversal activity in the options market.

Out of $SPY now but still very long with $PAH, $WWAV, $EGRX, and many other names finally playing out after months of consolidation.  Tech Trader remains 90% long by 30% short, the most invested we've been all year since going 60% cash in November.  I expect this will continue into the end of Q2 with many people who expect seasonal weakness to be disappointed.  If you look at the charts below, many names we have are just now starting to break to the upside.

Nice call on yelp

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Getting pretty long... Bought $YELP, $MDCO, and oddly enough $HLF. Ackman not going to like us...

$YELP and $HLF are high volume breakouts, while $MDCO is getting a lot of call buying today.

Did you get another Buy signal? Or more pain tomorrow?


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Tech Trader's once-in-a-blue-moon $SPY signal keeps its 100% hitrate intact yet again. $SPY at $208 from $206.6; current target price is $208.2, which isn't far off.  Probably an exit at end of day or tomorrow. The signal normally only happens a few times a year, yet this is our third one a few months into 2016.  Very interesting times.  So unreal every time we get this signal, but it never fails (knock on wood).

Intraday bottom signals coming back to life, buying a swath of ETFs $SPY, $IWM, $XLI, $SMH... If we stay here till close we might also get our once-in-a-blue-moon RSI2 $SPY signal, which has a 100% hitrate and only triggers a few times a year (although it's already triggered 3 times this year!).

$EQT (energy) finally really moving up after a $1M Sept. 75x risk reversal was bought last month. $PBR (Brazil) also continuing higher as usual. It's almost like Tech Trader chose to keep only its best names during its rotation out of the Brazil/Energy trade.  On a side note, some of the older RSI2 strategies are calling a short-term bottom to $IBB, so we might see the Biotech/Healthcare trade pick up again as well, which Tech Trader started entering the last few weeks.  It's a constant ebb and flow between Energy names performing for us and then Biotech names performing for us.

EQT 9/16/2016 75x Calls, 4000@$2.5999
MV: $1.0M | $Not.: $7.2M | OI: 37 | 41.5% TotalOI
50.5% StockVolume | 49.8% OptionVolume
Leg: EQT 9/16/2016 50x Puts, 4000 on OI of 57

Doing well short $WDR today (down 10% after earnings). Held since 2 weeks ago on  put buying at $20 strike, which we are now near.

WDR 5/20/2016 20x Puts, 3380@$0.9499
MV: $0.3M | $Not.: $2.1M | OI: 37 | 107.8% TotalOI
29.3% StockVolume | 69.8% OptionVolume

$PBR up another 7%; only Brazil name left and it's the strongest. Also just shorted $RIO on $1.6M in put buying, effectively betting both sides equally in Brazil now.  The put activity is below.  This is definitely a rotation from Tech Trader's massively long Brazil theme last month.

RIO 6/17/2016 32.5x Puts, 9404@$1.7
MV: $1.6M | $Not.: $11.9M | OI: 347 | 7.1% TotalOI
32.3% StockVolume | 72.2% OptionVolume


$PBR trade up a total 25% now.

Theme rotating from Brazil to last month's healthcare names now. $EGRX up 15%; many names $BMY, $WLK, $GILD bullish on Trendlines, unusual volume, and other older strategies.

Brazil/Energy theme doing great again. $PBR opened down but up 1.5% now and above $7. Names like $EEP, $ETP still breaking out on Trendlines and other older strategies with energy sector overall up 1.5%.

Another strong day for Brazil/Energy after pullback yesterday morning. Mainly holding $PBR (+6%) but $VALE, $EEP, and other past names also rallying.

$PBR now up 20% since re-entry a few weeks back.