This morning's release of employment data gave the market exactly what it was looking for: Expectations for a Fed rate cut and maybe multiple cuts into the end of the year. The market spiked in premarket and opened with a new all time high in the S&P 500. Now, about an hour or so into the session, those gains are eroding and the DJI, SPY and QQQ are all negative. It's too early to speculate on where everything will close today, but its not looking good right now. SMH, the Sell-Pending from yesterday, spiked with NASDAQ, but is now edging ever so closely to turning negative. NVDA, which accounts for over 20% of SMH, is looking like it wants to go much lower. If it does, SMH will follow. Yesterday's low on SMH is 284.30, if SMH breaks lower initial positions in Oct puts should be taken. SMH Buy initial put position is SMH breaks below $284 and more if it closes below $280. SMH Oct Puts NVDA
