I’m a software engineer who spends way too much time thinking about markets.
I like taking trading ideas that sound good, building a way to test them, and seeing what actually holds up.
Sometimes that turns into a backtest. Sometimes a scanner. Sometimes a tool. Sometimes I just learn something interesting and write it down.
I’m going to share the useful stuff here.
No pretending I have the market figured out. I’m just curious, I like building things, and I’d rather test an idea than argue about it.
Welcome to Market Lab.
Good morning! Oct. 7 premarket: $SPY and $QQQ are lower.
At 7 AM CT, Reuters reported Brent crude at $101.33/barrel and U.S. WTI at $89.83.
I’m watching the noon CT 10-year Treasury auction and 1 PM CT Fed minutes for clues on rates.
@jbfinancebull The United States produces most of its own oil. It’s these gas stations raising rates because of the conflicts. Crude oil is also priced on A global market, but gas stations make bank during these times
Good morning, everyone! $SPY and $QQQ are higher as oil and Treasury yields ease, with chip stocks helping tech.
Fed speakers and today’s Treasury auction could keep things interesting.
Right. From my understanding, $HOOD will try to automatically close out your trade if you don’t have the collateral to get assigned the shares, but if something crazy happens and when they run their check, the price is above your strikes, but then five minutes before close it crashes down, I don’t know if they’ll still automatically close it, so the trader would have to be diligent about closing it so they won’t have to hold something overnight and potentially get assigned shares and then have to sell at market open the next day. Especially if something gapped down overnight that could be catastrophic if you sized up a lot of contracts.
@AskRobinhood question - I am backtesting 0DTE spreads on $QQQ and $SPY
in situations of loss (price is inbetween short and long, or price is below both short and long) - does @RobinhoodApp automatically close the trade for you?
Is there any risk of assignments? That could turn a max loss of thousands into hundreds of thousands from having to purchase shares?
I want to ensure I understand all the pitfalls fully.
Simply put: is the max loss on a spread truly the max loss a trader can have on a 0DTE option spread?
Thanks!
@aleabitoreddit The key now is what that capital earns per share. If $AAOI delivers the ramp with healthy margins and no fresh dilution, the outperformance case gets compelling. What’s your timeline for those capacity targets to translate into recognized revenue?
$AMZN is a pretty wild balancing act.
AWS revenue grew 37% in Q2. Meanwhile, trailing 12-month free cash flow was negative $7.6B as spending ramped up.
The demand is showing up. Now the investment has to pay off.
How patient would you be with that trade-off?
@EmeraldSpectra That’s the bull case. I’d be patient if the new capacity fills quickly and margins hold up. Custom chips could help the economics, but the real test is whether that spending translates into sustained cash flow.
ISM Services: growth cooled, but price pressures heated up.
September PMI: 54.9 vs. 55.4 prior.
Prices paid: 74.0 vs. 72.6.
Employment: 50.1 vs. 47.8.
Services are still expanding. My takeaway for $SPY $QQQ: slower growth alone doesn’t give the Fed an inflation all-clear.
One thing I’m watching alongside ISM today - the bond market.
The Fed could pause this month and borrowing costs could still stay high. The 10-year Treasury yield was around 5.27% this morning.
Why care? Higher yields make financing more expensive and can pressure what investors are willing to pay for future profits - especially in tech.
If you’re watching $QQQ or $SPY, keep an eye on how yields react after the data. The headline number only tells part of the story.
One thing I’m watching alongside ISM today - the bond market.
The Fed could pause this month and borrowing costs could still stay high. The 10-year Treasury yield was around 5.27% this morning.
Why care? Higher yields make financing more expensive and can pressure what investors are willing to pay for future profits - especially in tech.
If you’re watching $QQQ or $SPY, keep an eye on how yields react after the data. The headline number only tells part of the story.
Watching $QQQ and $SPY today? Keep 10 AM ET / 9 AM CT on your radar.
The ISM Services report gives us a look at business activity, hiring, and pricing pressures across much of the economy.
I’m watching whether businesses are still growing while cost pressures cool. That combination could give the Fed more room to pause.
Hotter prices could push yields higher and pressure tech. A sharp slowdown could raise a different concern: growth.
Worth looking past the headline number on this one.
Watching $QQQ and $SPY today? Keep 10 AM ET / 9 AM CT on your radar.
The ISM Services report gives us a look at business activity, hiring, and pricing pressures across much of the economy.
I’m watching whether businesses are still growing while cost pressures cool. That combination could give the Fed more room to pause.
Hotter prices could push yields higher and pressure tech. A sharp slowdown could raise a different concern: growth.
Worth looking past the headline number on this one.