Sell Out of the Money Puts and VXX - Bid Is Tenuous But Support Will Form This Week

One Option Trading Blog http://ift.tt/1Vank7S Posted 9:45 AM ET - Yesterday, the market pulled back to a major horizontal support level at SPY $192. Asset Managers are not buying and they want to gauge the selling pressure. Once support is established, they will step up to the plate. They do not want to miss a year-end rally and many are anxious to buy this dip. China's flash PMI came in at 47. That was below estimates, but dismal results were expected. This is the lowest level since 2009. The PBOC will do all it can to stem the tide. We can expect continued weakness in China. …