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Expiration Friday, Here Is What You Should Know

Published 01/18/2013, 02:59 PM
Updated 07/09/2023, 06:31 AM
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This morning, the S&P 500 Index e-mini futures (ES-H3) are trading higher by 1.00 points to $1476.50 per contract. Today is options expiration so there could be some volatility during the first few hours of the session. Normally, volume will become very light after the noon hour. This entire trading week has had very light trading volume. Generally, the final trading day of the week will usually finish the session flat to slightly positive, so we shall have to continue to look for that by the close. Rarely, will the major stock indexes decline very sharply on a Friday.

Last night, the Asian markets all rallied higher. The big winner in Asia was the Nikkei 225 Index (Japan) closing higher by 2.86 percent. Again, more promised money printing by the central bank is inflating that stock market sharply higher. Traders can watch for strength in the Japanese ADR's if the U.S. markets are strong. Leading Japanese related stocks such as Toyota Motor Corp (TM), Honda Motor Co Ltd (HMC), Sony Corp (SNE), and Canon Inc (CAJ) are all likely to see higher prices.

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