Morning Commentary Monday Feb 8,2010

Tough week for a lot of income traders last week. The recovery Friday in the market helped some though. This week will be a light news week so not sure what the market movements will be triggered by except perhaps technicals. This week calendars,butterflies and iron condors are all appropriate based on days to expiration. Insurance on your condors and perhaps even butterflies could be considered. Keep a close eye on the VIX and other volatility levels to gauge market sentiment. Expect a whippy market, adjustment when and if you have to and get a little ahead of downside moves when you can.