TRADING WEEK AUG 24TH- AUG 31ST

The market showed even less life this week than last week. The intraday trading ranges for SPY were 1.50,2.50,3.0,3.60 and 2.15. The S&P and NASDAQ are nearly at their all-time highs. The DJIA is trailing behind due to stocks like BA. The implied volatility for the at the money SPY 28Aug 340 calls is 12.90. That's not single digits but it's the lowest it has been in a while. The SPY 28Aug 340 straddle is at 4.60. Aggressive gamma scalping should at least cut that risk in half unless the range tightens even more. That's the way to go if you want to establish a positive gamma position. Shorting the straddle is too risky now. Buying the two week at the money time spread makes mores sense from a negative gamma perspective since last week it delivered a profit of 0.44 and the SPY 11Sep-28Aug call time value spread can be purchased for 2.64 which is 0.24 less expensive than the SPY 04Sep-21Aug spread was. Consumer Confidence comes out at 10:00am ET this Tuesday while Consumer Spending comes out on Friday at 8:30am ET. BBY releases their earnings on the 25th before the open while HPE releases theirs later in the day after the close.