The reason I'm asking is that the Fall 2021 selloff in commodity stocks after an initial run up in early 2021, was brutal. OIL really dumped hard, as you can see, relative to the Dow, S&P 500 & Nasdaq.
During that time, I was really shocked at the dumping action because they were clearly value plays and we were heading for an energy crunch. So for the first time, I went way into margin buying energy & mining stocks. My interpretation of what I saw as an irrational market last Falll was that people seemed to use options to short the hell out of commodity stocks after a run-up and they drove the sector down and then took the profits to plow it into tech stocks. (As we know, that didn't pay off as after that sector rotation from commodities into tech, tech resumed sinking anyways.)
Because of my experience last Fall, I am anticipating a significant possibility another dumping of commodity stocks next week in the run up to op ex. I actually sold off 2/3 of the stocks I had bought on margin, to brace for volatility next week. I'm not really trading in options yet and am wondering if any has any suggestions for how to review options chains to look for the kind of dumping storm that took place in commodities last Fall. Is there a way to analyze options chains for op ex week volatility? Or is that not a thing?
Needless to say, I'm also low key anticipating another head-fake where people again take the gains from commodity stocks and plow them into tech stocks, which will support them at current valuations for a while this Spring, but that tech will then start sinking again in the mid- to long-term, at least until Summer or Fall.
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