Quadruple Witching, Expect The Unexpected – FSLR, GMCR, NFLX, PCLN

This Friday is going to be options expiration for the month of June. It is also a quadruple witching expiration which occurs four times a year on the third Friday of March, June, September and December. This is a time when stock index futures, stock index options, stock options and single stock futures will expire.

It is safe to say this is a period when the major stock indexes could be very volatile. Traders and investors should expect lots of rumors to be announced out of the blue. Just today, there is a rumor being reported that the Federal Reserve will begin to taper there current $85 billion a month QE-3 program. This is also a time when many leading stocks will be part of a rumor. Do not be surprised if you hear or read about a ridiculous upgrade or downgrade in many of the popular stocks. This unusual activity happens every quarter before quadruple witching expiration.

Some of the leading stocks that are usually very volatile during options expiration week include First Solar Inc (NASDAQ:FSLR), Green Mountain Coffee Roasters Inc (NASDAQ:GMCR), Netflix Inc (NASDAQ:NFLX), Priceline.com Inc (NASDAQ:PCLN), and many others. This is a trading week when traders and investors should expect the unexpected into the closing bell on Friday.

About Nicholas Santiago 575 Articles

Affiliation: InTheMoneyStocks.com

Nicholas Santiago started trading in 1991. In 1997, he became a licensed Series 7 and 63 registered representative. He managed money for a large, affluent private client group. After applying his knowledge to his client base, he decided it was time to begin teaching those interested in learning his methods. He is an expert in Technical Analysis. He has become an accomplished technician in the studies of Elliot Wave, Gann Theory, Dow Theory and Cycle Theory. In 2007, he partnered with Gareth Soloway to form InTheMoneyStocks.Com and realize his dream of educating others about the truth of the markets.

Visit: InTheMoneyStocks

Be the first to comment

Leave a Reply

Your email address will not be published.