Market Rally More Likely Than Decline - Buy Calls On A Capitulation Low

One Option Trading Blog http://ift.tt/1IQ4Nxv Posted 10:10 AM ET - Last week the market breached the major moving averages and horizontal support at SPY $202. Low oil prices and the prospect of higher interest rates weighed on credit markets. All eyes are on the FOMC this Wednesday and this is going to be a wild week. China's industrial production and retail sales were better than expected. They no longer post a flash PMI number so this will be the last economic news of the year. Conditions are stabilizing and China will not be a concern for the next two weeks. Oil prices continue to slip. However, …