Benzinga Options Outlook for the Week of July 8: Sentiment to the Long Side

Options for this week have finally started showing sentiment to the long side.

We've seen a few big name stock hit new highs such as Google (NASDAQ: GOOG), Amazon (NASDAQ: AMZN) and Priceline.com (NASDAQ: PCLN). These were mentioned last week for dip buying opportunities once the markets started showing some major recovery. Volatility traders made a boat load last week, going into the short weekend.

This being said, we're approaching some interesting areas on the S&P 500 (NYSE: SPY) at 163 and holding. We could possibly be in a bullish market very soon here. Dip buying opportunities should be noted as volatility will start drying up if we start trending again, making it harder for vol traders and easier for the guys trying to go net long calls or puts.

Consider dip buys a considerable discount on the calls. Watch for some type of momentum to hit the financials to really give the SPY
some juice.