The Treasury Department approved Invesco Ltd. and the TCW Group Inc. to begin purchasing toxic assets from banks.

Options traders created a "Long Strangle" position in Invesco by purchasing the January 2010 $25 Calls along with the $22.50 Puts.

The "Long Strangle" is a strategy designed to limit an investor's risk while profiting from major moves in either direction.

Overall Invesco options trading volume was up significantly on Friday. The MOB Index Volume Level for Invesco Puts (IVZ_PUT_MI) closed the day at 50,515 over 500 times normal levels. While the volume level for Invesco Calls (IVZ_CALL_MI) closed the day at 19,537 almost 200 times normal levels. MOB Index IVZ Put/Call Ratio for Friday was 2.59.

MOB Index Name	Company	MI Value	MI Put/Call Ratio
IVZ_PUT_MI	Invesco, Ltd.	50,515	2.59
IVZ_CALL_MI	Invesco, Ltd.	19,537

The 90 Day Financial Sector Mob Index Ownership Volume Distribution

15.08% Between 11.1 & 11.6983
30.65% Between 11.7083 & 12.3067
13.78% Between 12.3167 & 12.915
5.46% Between 12.925 & 13.5233
14.10% Between 13.5333 & 14.1317
20.93% Between 14.1417 & 14.74

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Traders have taken a huge position in put options on Invesco, Ltd. over the last five trading sessions without any significant company news.

Since July 1st Invesco, an independent global investment management company, is up nearly 30%; outperforming rivals like Blackrock. The MOB Index Volume Level for Invesco Puts (IVZ_PUT_MI) closed the day at 23,400 almost 230 times normal levels. The MOB Index IVZ Put/Call Ratio for Wednesday was 32.47. This could indicate that investors are simply trying to protect gains in their portfolio.

MOB Index Name	Company	MI Value	MI Put/Call Ratio
IVZ_PUT_MI	Invesco, Ltd.	23,400.00	32.47
IVZ_CALL_MI	Invesco, Ltd.	720.66

The MOB Index Volume Level for Financials (YF_MI) closed the day at 1684.24 up 552.81 points. Over 1.2 billion shares of Citigroup changed hands, accounting for over 17% of the NYSE's total volume on the day.

It appears that there is more volatility in financials on the horizon as options traders took significant positions in Citigroup Calls and Travelers Puts.

MOB Index Name	Company	MI Value	MI Put/Call Ratio
C_PUT_MI	Citi	4491.74	0.496
C_CALL_MI	Citi	9057.07
TRV_PUT_MI	Travelers	1079.31	4.378
TRV_CALL_MI	Travelers	246.53

The 90 Day Financial Sector Mob Index Ownership Volume Distribution

9.47% Between 7.9099 & 8.73992
16.12% Between 8.74992 & 9.57993
7.34% Between 9.58993 & 10.42
15.84% Between 10.43 & 11.26
32.77% Between 11.27 & 12.1
18.46% Between 12.11 & 12.94

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The 90 Day Financial Sector Mob Index Ownership Volume Distribution

8.45% Between 6.09 & 7.22333
12.43% Between 7.23333 & 8.36667
19.03% Between 8.37667 & 9.51
11.49% Between 9.52 & 10.6533
22.96% Between 10.6633 & 11.7967
25.63% Between 11.8067 & 12.94

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The 90 Day Financial Sector Mob Index Ownership Volume Distribution

9.05% Between 6.1199 & 7.25992
17.76% Between 7.26992 & 8.40993
26.49% Between 8.41993 & 9.55995
14.27% Between 9.56995 & 10.71
17.52% Between 10.72 & 11.86
14.92% Between 11.87 & 13.01

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The 90 Day Financial Sector Mob Index Ownership Volume Distribution

8.78% Between 6.1199 & 7.25992
18.46% Between 7.26992 & 8.40993
29.92% Between 8.41993 & 9.55995
17.52% Between 9.56995 & 10.71
16.03% Between 10.72 & 11.86
9.29% Between 11.87 & 13.01

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The 90 Day Financial Sector Mob Index Ownership Volume Distribution

9.07% Between 6.1199 & 7.25992
19.08% Between 7.26992 & 8.40993
30.92% Between 8.41993 & 9.55995
18.10% Between 9.56995 & 10.71
15.06% Between 10.72 & 11.86
7.77% Between 11.87 & 13.01

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The 90 Day Financial Sector Mob Index Ownership Volume Distribution

9.88% Between 6.1199 & 7.17823
19.88% Between 7.18823 & 8.24657
29.85% Between 8.25657 & 9.3149
18.49% Between 9.3249 & 10.3832
16.39% Between 10.3932 & 11.4516
5.51% Between 11.4616 & 12.5199

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The Federal Reserve will deliver results of the stress test, in a private session, to executives of 19 U.S. banks today that may show that about 10 will need to raise additional capital to survive a prolonged recession.

Some of the banks are discussing plans to bolster their capital position from the conversion of preferred shares.

Tuesday's private session will also include discussions on how the Federal Reserve, the Treasury and policymakers plan to unveil the potential market moving results to the public.

A public review of the results of the stress tests is planned for May 7th, after the close of trading on U.S. markets.

The MOB Index of US Financials (YF_MI) closed Monday's session up 825 points to 1335.45.

The 90 Day Financial Sector Mob Index Ownership Volume Distribution:

13.06% Between 6.1199 & 7.31323
22.53% Between 7.32323 & 8.51657
39.63% Between 8.52657 & 9.7199
10.44% Between 9.7299 & 10.9232
10.07% Between 10.9332 & 12.1266
4.26% Between 12.1366 & 13.3299

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Trading volume levels in financial stocks dropped for a second day by over 160 points pushing the MOB Volume Index of Financials to 690.73. This implies that current price levels may be nearing a resistance point.

With Citi and GE reporting earning on Friday consider taking profits in financial sector holdings.

Trading volume levels in financial stocks spiked on Monday by over 234 pushing the MOB Index of Financials to 1808.61.

Citi (C) and Bank of America (BAC) shares accounted for almost one quarter of all trading volume on the New York Stock Exchange for the day.

Trading in financials should remain at these higher volume levels over the next few days with planned earning releases from most of the major US banks including Goldman Sachs which announced Q1 earnings after the close on Monday.

Goldman beat analyst estimates with a net profit of $1.81 billion and earnings per share of $3.39.

Expected First Quarter Earning Releases

Company	Release Date	Release Time
JPMorgan Chase	April 16th	6:30 AM EST
Citi	April 17th	8:30 AM EST
General Electric	April 17th	Before Market Open
Bank of America	April 20th	9:30 AM EST

13.39% Between 6.1199 & 7.31323
22.07% Between 7.32323 & 8.51657
37.56% Between 8.52657 & 9.7199
9.67% Between 9.7299 & 10.9232
11.75% Between 10.9332 & 12.1266
5.56% Between 12.1366 & 13.3299

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