(Bloomberg) — Technology stocks and investment-grade corporate bonds look particularly extended and investors can position via options for potential reversals in both asset classes, according to Btig LLC.“The tech stock/Nasdaq centered rally appears stretched as the Nasdaq VIX made a new yearly low in December, diverging from the S&P 500 VIX,” which didn’t breach lows from April and November, Btig strategist Julian Emanuel wrote in a note Jan. 1. The Cboe NDX Volatility Index reached its lowest closing level since January 2018 last month.Emanuel recommends a bearish trade on the tech-heavy Nasdaq involving buying February $203 puts on the Invesco …read more
Source:: Yahoo Finance
