As S&P 500 Retries 3,000, Option Sellers May Gird for Battle
- Schaeffer’s is watching open interest of calls on SPY ETF
- Index sold off Friday after nearing key round-number level
This article is for subscribers only.
The S&P 500 could struggle to climb above 3,000 amid a defense by those who have sold options with strikes at or above that level.
Schaeffer’s Investment Research is watching the setup of bullish call options on the SPDR S&P 500 ETF Trust, with a focus particularly on that nearby round number. The stock benchmark briefly retook 3,000 on Tuesday before paring gains, and was up 1.1% to 2,998.07 as of 11:15 a.m. in New York. The ETF, ticker SPY, also advanced 1.1% to $299.15.