An advance preview of upcoming economic news.

The two-day bout of profit taking has increased volatility, which is a plus for option premium sellers. However, that higher volatility brings a higher risk for large market moves so it is wise to keep an extra-keen eye on risk management for any open and new positions.

SPX 6 month chart

VIX 6 month chart

This week we will hope to enter the weekly VXX Call Credit Spread trade for the February 9 cycle. The entry will likely be Friday, depending on the overall market conditions and available credit. We will wait another week before considering re-entering the SPX Weekly Iron Condor into the trade plan.

For planning purposes, upcoming economic news releases beginning tomorrow are summarized below:

Thursday

8:30 am Jobless Claims

8:30 am Productivity & Costs

9:45 am PMI Manufacturing Index

10:00 am ISM Manufacturing Index

10:00 am Construction Spending

Friday

8:30 am Employment Situation Report

10:00 am Consumer Sentiment

10:00 am Factory Orders

Monday, February 5

No significant news releases

Tuesday

8:30 am International Trade

8:50 am Fed's James Bullard speaks

Wednesday

8:30 am Fed's William Dudley speaks

10:30 am EIA Petroleum Status Report

11:15 am Fed's Charles Evans speaks

Thursday

8:30 am Jobless Claims

9:00 am Fed's Neel Kashkari speaks

As always, stay keen on your risk management and trade carefully,

Dot Hazlin