10
Mar
10

Late Night Wednesday Post

By akoptiontrader Leave a Comment
Categories: Daily Charts, Wednesday and late night post
Tags: , , ,

This post is even later than usual. So just a couple of quick thoughts and charts. Tomorrow, I think we will see a significant increase in the mkt. moves, and I think that will continue to Friday. It has been getting more and more volatile this week, be it ever so slowly. I am leaning towards a down move here, but it is certainly not the clearest of signals. The INDU and COMPQ both look the same. The NAS has been incredibly strong, and when I see this I tend to want to short the QQQQ as soon as I see weakness. It seems they fall a wee bit quicker. I don’t see weakness yet, but I will be watching for it.

I was going to post the VIX and VXN tonight, but they both look the same. There is this strong move up and they both have filled the gap. Now, the question is whether or not this is a gap and go or a gap and drop. We will know tomorrow.

The SPX is near very clear resistance and it should at least stall a bit here. This could be a double top set up. The RSI is over bought, but the MACD is still rising. It is not a clear signal either way, but in considering the recent big move down and rally, I think that this will hold, at least for short-term. Of course if the NAS and RUT keep climbing this resistance will too give way.

DELL has more than filled this gap, re-tested the high and failed to close above this down trend line. The v has increased for two days in a row, but left big top wicks. If the v increase again tomorrow this could move above that down trend, but seeing those top wicks lends me to believe this will drop at least a little from here.

A few days ago I thought this may be setting up for another great short trade, but now I think the opposite. This looks more like a bull flag and today there was a bullish engulfing candle. Low v today, but it has been trending lower for several days. I won’t trade until I see confirmation, but if it does bust to upside, then I think it will take out that resistance.

In closing: I expect more action tomorrow and a bigger close, one in the double digits one way or another. Trade well and prosper. AKOT

09
Mar
10

Is it rude to disrespect crude?

By akoptiontrader Leave a Comment
Categories: Analysis, Charts, Nasdaq, Stock Market Analysis & Commentary, Stock Trade Setups and late night post
Tags: , , , , , ,

Once again, pretty much as expected. However the +50 point up move on the $INDU was a little surprising. It was accredited to the CSCO “game changing” news. That seemed to me to be an obvious sell the news type of news, but the selling didn’t happen until the last hour of the day. I looked at the VIX throughout the day, and it started green and finished green. Unfortunately,I don’t know if tomorrow will be any better. I know there is econ news, but it is wholesale and crude inventories. Two – three years ago that was great mkt. moving news, nowadays, not so much. Enough babbling about nothing, let’s look at charts:

This is the VIX on a 60 min. chart. Check out today’s last full hour before the close. That is the biggest increase we have seen in two months. You can also see that it is slowly trending up. I just find it interesting that perhaps we may be seeing a pattern forming, so watch for more selling late in the day, on a strong VIX.

The $INDU made another small body big wick day, not a perfect hammer, but close. It is sitting on support but still stuck beneath the “weak” resistance up trend. If it doesn’t move up this week, then I will be looking for a pretty significant drop next week.

The SPX has a couple of reversal candles in a row now. However, the last time it did this was March 2, and you can see it then formed that bullish wedge that it broke out of.

Again, the $COMPQ still looks strong. The 2327 support has held strong, but it did have a pretty big stinking wick today. Normally when I see those in fast up moves, I get just a little cautious. It is not a reversal candle, but it is often a precursor of a reversal candle. However, I usually look for a pattern of them occurring.

The $RUT too looks strong. It is clearly over bought, but it can clearly stay that way for some time. In fact, today it formed a bullish engulfing on support, which would be a much more powerful candle at the end of a down move.

This is the UUP on a 60 min. chart. I am not sure if this wedge is bullish or bearish. In fact, I don’t have the indicators on here, but they would be no help anyway. This thing is hopelessly sideways and crying for a breakout. It is sitting on the 50 ma and 20 ma which, surprise, are on top of each other. So that should offer support and perhaps give the upside breakout the edge. All I can say is that it really looks like it wants to breakout.

To me, this is a classic way to use indicators. Look at this flag and look at the indicators, now you tell me where you think this might go. The first one to email me with the right answer gets free access to my site for a year!

Now I admit, I would like to see a lot more volume here, but at least there is an increase. This is an earnings move up and a breakout of a rounded bottom. If you like “cheap” stocks you may be able to get .25 out of this, maybe more. If you trade it, I would use $2.15 as my stop. I likely won’t trade it, but I wanted to share it. Note the tons of top wicks on the left side of the rounded bottom formation. That is what I call a pattern of wicks. Note also how quickly the disappeared on the up turn.

In closing: We are seeing a slight increase in volatility, and I think it may continue tomorrow. But ultimately, like today, I wouldn’t expect huge fireworks. Thursday and Friday, well that should be a different story. I will be looking for more of a directional day tomorrow, something like an up open, then early day sell off. Trade well and prosper. AKOT

08
Mar
10

Deja Vu demain?

By akoptiontrader Leave a Comment
Categories: Charts, Daily Charts, Indicies, Nasdaq, SPIDERS and Stock Market Analysis & Commentary
Tags: , , , , , , , , , ,

First, two words; Soccer Practice. My blog scheduling will be sporadic this week and I don’t know how it will be next week. Basketball is over and now I am a soccer dad.

Well today went pretty much as expected, except I thought we would see a small move instead of a mixed bag. As you will see, the NAS actually looked pretty decent, but the others were lagging. I would expect more of the same tomorrow as there are no earth shattering earnings or expected economic news due out. Again, I reiterate, fundamentally I think this mkt. is a house of cards, technically it is pushing higher. Since I am a trader I will trade the moves. I will look for the best set ups, up or down, on my watch list, look at the best option action, then make the trade. Currently, I don’t like to be in my trades for more than three days.

There is not a lot to talk about tonight, as I can see by the three sentences in my trade journal, so let’s look at some charts instead:

I was expecting this support to hold, and it did. However, when I look back at the past moves up, they are almost always pretty strong bullish signals. This is not. Perhaps it will rally a little to fill the gap, but I am not feeling the conviction behind this move that I have seen at other VIX lows.

The DOW continues to push up against the bottom of this channel. Today’s candle is very similar to a pair we saw last week, and the week before. Both broke to the upside. I would expect a similar looking candle tomorrow.

The SPX threw out a clear doji cross, again normally a pretty decent reversal signal. However, I will be waiting for confirmation tomorrow before I decide if it should be heeded.

The NAS was the only one that had a true breakout today. It took out this year’s high, with a small pullback. This actually looks like a good long trade, so let’s look at the QQQQ……

Hmmmm, not quite as strong a chart eh? I love this volume spike on the bottom, those are great confirmations. However, since then v has been slowly declining and still declining into this up move, which is now clearly at resistance. Before I go long, I would want to see a move above this with some v.

The SPY doesn’t look too much more attractive to me. I don’t like being late to the long trade, and without a pullback I will not be going long here. There are plenty of plays to be had.

This thing gaps so much it makes me want to PUK. However, if you have followed me at all, you know these are some of my very favorite trades, the post earnings slide, then rally back into the bollinger bands, and that little sideways movement. I like to trade these setups to the short side. I will use $16.05 as my stop.

This is a pretty decent down trend. I like the v into this move, and I think it may be heading for $2.90.

KGC is in a down trending channel trying to re-test the 200 ma. Today it had a bearish engulfing candle on slightly increased v.  I will be looking to trade to the downside with the 200 ma as my original stop.

Finally let’s finish with a little Texas. TXN has broken out twice of these last two wedges. However, this time I think this move may fail. Note today’s bearish engulfing candle after the breakout and also note the very nice v spike with the move. I have a feeling this thing may be heading to the $22.50 area.

In closing: I will post some more charts on twitter, even some bullish ones. But I expect more of the same tomorrow, and then by Wednesday things should get more interesting. Again, my schedule will be wacky this week, and as always Wednesday night’s post will be short and late. Trade well and prosper. AKOT

07
Mar
10

Weekly Stock Market Video 3-6-2010

By akoptiontrader Leave a Comment
Categories: Analysis, Charts, Daily Charts and video
Tags: , , , , , , , , , , ,

Once again we are living in breakout city. Almost all the indices have broken out of their nearest resistance, and, for the most part, seem poised to push even higher. Most of the economic news coming out has been wte, and surprisingly so. However, the jobs numbers have been bte, still horrible, but bte nonetheless. This seems to be what is pushing this mkt. higher. Ignore the bad and run with the good, pretty much the standard for a year. Personally, I still do not think the fundamentals of our country are good, but that doesn’t matter. What matters is how I can trade well, and right now the easier trades are to the upside. So I hold my nose, and trade. The last two weeks my trades have been pretty mixed between puts and calls. So far, all my call trades have worked and about 1/2 my put trades have worked. So trading against this trend is much harder, as it should be.

In my perfect scenario, I would like to see a pullback to my support lines, then I would have some great places to go long. I still see a lot of individual charts coming up against resistance, and they are all attractive to me because they have clear stops. As stated in the video, the VIX has dropped into the gray box of death, and I will be looking for some up movement. If it does breakdown, then I will be looking at 16 to offer support. It seems to me, barring any unforeseen news, Monday & Tuesday will probably keep moving sideways to up. There are some earnings coming out, but nothing too mkt. moving. Now on to this week’s video:

I have a new mike, and I noticed a hum and some odd sounds, I apologize. I will try and to have a new mike by next week.

04
Mar
10

Cracks in the rally? Or I may be wack!

By akoptiontrader Leave a Comment
Categories: Analysis, Charts, Daily Charts, Stock Market Analysis & Commentary and Stock Trade Setups
Tags: , , , , , , , , , , , , ,

Well at least there was more volatility, sure it wasn’t down like I thought, but at least it moved. I really thought we were going to have  a  very weak day. Why you ask? Well if you noticed, pre-open there was some pretty decent economic news that came out, and cause a small move up on the futures, but not as big a move as I anticipated. When that happens, I tend to lead to the short side. I also expected the housing numbers would be wte, as they were, and I thought this would be the catalyst to send the mkt. to over 50 points down. The mkt. did drop, but instead of having the late day drop, as I noted, it had a late day rally, a pretty decent one at that.

Tomorrow we do it all again. So far all the employment numbers this week have been bte, and most of the econ. news tomorrow is employment related, and out before the open. This should give us an idea which we should be trading for intra-day. I have a sneaky suspicion we will end the day on another up note, but there will be some key levels I will be watching as you will see on the charts:

One of the reasons that I have really been looking for a volatility spike, and in a bearish direction, is the VIX. You can see how reluctant it is to enter the gray square of death. But, the longer it sets here on top, the more likely it is to drop. The last move up was after three days at one level, so I think tomorrow is the day that will decide the short-term direction.

The DOW, lead by DIS’s near 3% up move, closed above that down trend line for the second time since January. I was really pretty confident that this was much more bearish here, so I was a little surprised to see that late day rally that took this down trend out. I know that it is not the strongest trend line, but it was just setting up pretty as a great short area. Of course the DOW took out the 50% fib without a re-test, so I guess I shouldn’t have expected much here. One thing to note here, it did not approach yesterday’s high, so it was an inside day, not a very encouraging bull signal.

Of course we all know that the SPX is a much better overall measure of the mkt. So I see here that it is still under resistance, but it looks to be forming a loose bull flag. Therefore, I would be looking for a break to the upside, but I will be ready to short on a break of the 1116 line.

The NAS has really defined resistance here this last three days. So the trade here is pretty simple, a close above 2294, I will be looking long, but more sideways or down then I will be shorting probably beneath yesterday’s open.

I spoke of the disconnect between the UUP and the mkt. lately, yesterday. So here the UUP was up .55% and the mkt. was up almost as much. So I did a little research and I found that…

… if you look closely where, theoretically, the UUP and SPX cross, you can see that it is not uncommon for them to move for a day or two in the same direction. The black candles are the SPX the blue ones are the UUP. You can see in July / August when the SPX really started moving up the UUP started dropping, and at about that time frame they crossed. There the UUP seemed to lose momentum for a bit. I don’t know if this is happening again, and I don’t understand why it would, but I look at a lot of mkt. history to see how it acted before, and I noticed this. So it may be the two are set to cross again and that is why this apparent disconnect is showing. Or I could be wack!

I talked about XLE as a possible short yesterday as it had some nice reversal candles on resistance. It ended up down today over .50%, on a mkt. up day. So I thought we would look at a couple of energy charts. This is NOV and it had a big bearish doji hammer engulfing candle, or a bbdhec for short. Speaking of short, methinks this is one.

I also like HAL as a short set up. This could be a double top, but it certainly is a bearish engulfing on decreasing v. I like those type of set ups.

I like trading DVN, as you can see by this chart. I used to trade HAL a lot, but lately not so much. Perhaps tomorrow will be another opportunity. Back to DVN; This is simply another bearish engulfing a hammer. It feels pretty bearish here to me, even though it rallied off the lows. I would like it if it opened just above the close or gaps down a little.

In closing: I think tomorrow will be a  pretty important day for the VIX to give me a little direction. Further, although the DOW did break out above the trend, the others have not, and the DOW stayed beneath yesterday’s high. I am still not full force bullish, still cautious and watching for cracks in the rally. Trade well and prosper. AKOT
%

03
Mar
10

Late Night Wednesday Post Wicky Wicky Wicky, shut up! ( if you know this song, you are an eighties freak like me)

By akoptiontrader Leave a Comment
Categories: Wednesday and late night post
Tags: , , , ,

Tonight is my typical late night Wed. post. I have been gone since 7 am and just got home, so it is going to be quick. The main thing I want to point out tonight is  obvious to anyone that looks at charts, the indices are wickedly wicky. This shows me that all buying is being met with even stronger selling. We have been in a definite pattern the last three days, move up early, gradually move up to sideways the rest of the day, then sell off the last 2 hours of the day. The last two days this pattern has become more pronounced. I think this is showing us that this current up move may be dying off. Generally, when you start seeing selling like this starting to form at the end of trading days, that is a bearish sign, and until proven wrong, I will take it as such.  Now a couple quick charts:

The VIX dipped its toe into the gray square, so it looks like it is trying to form a bottom right here. I think it may be poised for a bounce here, even if only for a day.

The DOW is still beneath that long-term down trend, after breaking above it for the second day in a row. The V is average, and I really think this shows us this move is tiring. It really has not been much of a move since late February.

A 30 min. $SPX chart to show you what I am seeing intra-day. You can see the selling has increased the last three days, but incrementally so the last two days. I will be looking for more of the same, even an exponentially bigger move the next two days.

A curious thing is the UUP, which actually had a significant drop today, taking out the 20 ma. This should be bullish for this mkt., but it wasn’t at all.You can see I have good support at $23.40 and I would expect that to hold.

JCP gapped up after earnings, consolidated, then bounced higher again before running into the 200 ma. It may move sideways here for a few days, but likely it will drop, so keep an eye on it. If it takes out the 200 ma, then it should be a good long play.

In closing: Depending on the large amount of economic data that will be released the next two days, I think we will see increased selling into the close, unless the mkt. is down all day long. It is pretty evident that the bears are currently slightly stronger than the bulls, and I think the bulls will have to regroup at lower prices. I did a quick look in the past to see when the last time we had a tombstone doji followed by another near tombstone doji after a gap up, on the indice charts. I did not see one. This feels pretty short-term bearish to me. Trade well and prosper. AKOT

02
Mar
10

Tip your cup and handle.

By akoptiontrader Leave a Comment
Categories: Analysis, Charts, Daily Charts, Indicies, Nasdaq and SPIDERS
Tags: , , , , , , , , , ,

Okay, so we went into flat mode right off the bat today, a lot quicker than usual. I expected a semi-flat day due to the lack of economic news, but it was brutal. It was brutal enough that I took some time to do some paper trades on the futures, now that is a slow day. However, the end of the day actually provided some action, just a touch, just enough to perhaps give us a glimpse. I really expect more volatility the next three trading days. There is a lot more news coming out, especially Thursday and Friday, and there is still a slug of earnings this week, including some retail, pharma, and medical, all of which can affect the mkt.

I am still perplexed by the lack of volume, therefore I am still a little hesitant to head into breakouts or breakdowns with full force. The following charts will show some breakouts, but they will also show some resistance nearby, so tis a bit of conundrum. Let’s look:

The VIX is entering that range of support I have been talking about. Both the RSI and MACD are still trending down hard. However, there was a decent spinning top doji today, in itself not the strongest reversal signal, but one none-the-less. I would expect a bounce from here to anywhere in the gray rectangle.

This pattern has become evident in almost all the indice charts; the cup and handle. Now technically speaking I would like to see this break out above the highs from late March to confirm this, but that did not happen. In fact, you can see the long-term down trend line held up with the DOW closing beneath it after breaching it forming a tombstone doji. Volume here was not terrible, but definitely not impressive. If this closes above those highs and above that trend line, then I think we at least re-test 10,800.

Another cup and handle with a small breakout. The RSI has moved into overbought territory, but as you can see in the past it can stay up there for a while and be comfy. The MACD and histogram were flattening and heading down, but that move has stalled out a bit as well. Once again this moved stalled out on resistance, and I am not convinced that it will close above it tomorrow.

Go figure, another cup and handle breakout. This one on the NAS is much more convincing than the last two. It took out the previous high, and has moved clear above that down trend line, but in doing so it formed a tombstone doji today. There is no clear resistance right here, but this is a very weak candle formation and one that shouts caution, so be cautious.

As I have said, the RUT has been the leader in this current up trend. Today it took out the long term down trend, but I expect this move to slow down / stall out very soon. I thought we would hit the top of the channel, and we still might, but I don’t think it is necessary for this to turn over.

The XLE has quickly formed a double top on average volume. Another tombstone doji on resistance. Unless there is a v spike tomorrow, or a gap above 57.60, I think this will drop and be a good short play. I will be watching it in my basket tomorrow morning.

LOW has breached this top three times now. Usually I say the third time is the charm, but when you have a overbought RSI, down trending histogram, and a clear volume divergence along with a near bearish engulfing candle, I say the cards are stacked against it. I think the lack of volume will cause this breakout attempt to fail. The good news, if I am wrong then there is a very clear and tight stop, I love that.

This is KRE, I have posted it before, it is the regional bank ETF. RIght now it appears poised to breakout to the upside with declining volume in this non-typical bull flag. Of course if the mkt. tanks, then this too shall tank. But if it stays flat or rises, I think we see a break to the upside.

In closing: The VIX is due for a bounce, the economic news is bearish and there is more of it coming, ergo I am expecting more volatility and more trade setups. I like the breakout patterns on the indices, but I need to see confirmation in the form of volume to be a strong buyer. So tip your teacup and handle, hang on, trade well and prosper. AKOT

01
Mar
10

A lack of volume leads to a lack of conviction

By akoptiontrader Leave a Comment
Categories: Daily Charts, Nasdaq, SPIDERS and Stock Market Analysis & Commentary
Tags: , , , , , , , , , ,

It is no secret the bulk of the mkt. moves each day is the first hour and a half and the second hour and a half, but it seems to me that it has even been more brutally true this last couple of weeks. Usually you can snipe a play during the lunch hour, or around 2 pm., but it seems to me this mkt. has been very tight during the middle of the session. Today, for instance, by 11 it had moved right into its range for the day and traded from 1113 to 1115 on the SPX for the rest of the day. Now, I won’t sit in front of my computer all day trying to force a trade, so I have been waiting for the open and right before the close to make my trades. It seems to be working right now.

Today we took out some resistance, and I will be watching for follow through with some v tomorrow. This weekend when I was looking through hundreds of charts, I saw a lot of potential head and shoulder patterns setting up. They weren’t there, which is why I didn’t post most of them, but I was watching for them to materialize. If we get more of today’s action, then I will be looking for more breakouts instead of breakdowns.

The VIX continues in its down-trend and there really is not a lot in the way of support. The arrows point out the two levels that kicked off the last move up. The VIX has been very volatile itself and coming off that big down trend, I still think this is forming a bottom, albeit a time-consuming one. So watch $17.50 & $18.50 levels for logical bounce areas.

The DOW has once again butted its head against that long-term down-trend line. Volume is about average, but I think it will need a bit of a v pop to break out. I don’t know if it has the v behind it to make it happen or not, but it is close enough that tomorrow should be the key. I am looking for a close above, not just a move above.

This is the SPX. It had a definite breakout day today, taking out February’s highs. I have highlighted what looks like a very sloppy, mini inverse head and shoulders formation. If I drew the line truly from left neckline to right neckline, the SPX would be right at the bottom of that line today. It looks strong, but often these are re-tested before the true breakout.

The NASDAQ filled the gap and then some. The indicators are trending up, sans the histogram which is rebounding a little of the recent down-trend. This was an impressive move, over 1% up today, exceeding both the SPX and the DOW. I think we have to watch for follow through, perhaps after a re-test.

Check out the resistance line we have been watching for a while now. The UUP reached up and touched it once again before falling. Most of the time, strong resistance like this requires the stock to move down a little and make another run at it, preferably gapping above it. I think the UUP might be there right now. Unless it has a huge v pop, I think it will fall a little before making another run at 23.88, and breaking through.

Here is a clean chart of the QQQQ, you can see the gap above the down-trend line on okay v. None-the-less, this is a breakout and as long as the bottom of that gap holds this should head higher.

The SPY also had a breakout. My only issue here is the declining v into this up move. I wouldn’t mind it so much if it was flat, but it is clearly in a down trend, which creates a divergence. This surely could move up much more, but before I buy long-term I need to see some v behind the move.

I spotted this potential double top this morning. Technically, it did break above the Jan top, and with decent v, so it may be broken. But, I don’t think it is enough yet to call it broken so I am going to continue to watch it. I really like double tops and bottoms for decent size moves.

I twitted this one a while back as a trade off the up trend, and it is making its move. I would love to see some v and the indicators turn up, but this move may be over by then.  A little riskier trade because of that, but I would use today’s low as a stop.

Another breakout with strength. BDK mad a strong move today on average v. I think this move has legs and BDK is heading for $80.

In closing: We have our lightest data day of the week tomorrow, so I will be looking for another trend day. The econ. news continues to be consistently wte, but the mkt. clearly shrugged that off today. I don’t expect that will continue all week, although when we look at the indices, other than the DOW we are seeing breakouts. In my mind, breakouts are best traded on re-tests, so that is what I would like to see. Trade well and prosper. AKOT

28
Feb
10

Weekly Stock Market Technical Analysis Video 2-28-2010

By akoptiontrader Leave a Comment
Categories: Monthly Charts, Stock Market Analysis & Commentary, Stock Trade Setups and video
Tags: , , , , , , ,

We have a busy news week ahead, and I expect that to add to the volatility. I have noticed that the news is starting to turn decidedly bearish and I would expect that to continue this week. I also expect that if we have some big down movement, then our President will be on T.V. to tell us about all the jobs that we did not, or may not have lost because of the stimulus package.

In this week’s video, I pull back and look at some monthly charts, and from my eyes, we are slowly turning down. We have some small signals that are starting to show that the winds of change are blowing. In the video you will also be reminded that the current rally we are in started on March 6, 2009, one year ago. I have a feeling this will be an exciting week, and I can’t wait to trade it. Trade well and prosper. AKOT

25
Feb
10

Hoops got in the way.

By akoptiontrader Leave a Comment
Categories: Charts and late night post
Tags: , , , ,

Sorry about the late post once again, but it has and will continue to be an extremely busy week for me. Tonight I sat through three High School hoops games, and I am fully convinced if they had terrorists sit on those hard plastic bleachers, packed in with hundreds of hot smelly athletes and parents, for a day, they would confess to anything we wanted.

Today was a really good day for me. I sold my all my puts about 30-45 minutes into the day. I then didn’t think I was going to trade any more, but then things looked like they were starting to lift, and after I saw the bull flag forming on the ES, I went long with some 110 SPY options. So I am sitting on those overnight. Now I am not sure if holding them overnight was the best plan, because I really think we are seeing some reactionary selling again, and with the news coming out pre-market tomorrow we could see more of the same. However, the fact that there was some strong buying into the close left me thinking the risk / reward was worth it.

The VIX actually looks like it is in a bear flag type of mode. It looks poised to either drop or stay sideways here to me.

The SPX is still in a down trend, and the histogram is still trending down ever so slightly. The RSI is moving into the over bought zone leading me to think this may continue down to sideways a bit.

One of the reasons I went long was the UUP. Remember I talked about this resistance, but I thought it wouldn’t take much to break through it? Will we got close, but then the UUP started loosing steam quickly, and originally the strength of the dollar seemed to be the main catalyst for the market drop.

You can see on this 30 min. chart the doji cross, followed by strong selling that caused me some pause.

This is the chart I was watching when I decided to go long. I liked the three strong rising candles ( 5 min. chart) then the consolidation, which was a pretty clear bull flag gaining strength. I figured I would use 1095 as my stop, so the risk was very minimal. But, holding overnight increased my risk profile, so will see how that plays out.

Shippers were strong, even in the morning today and I noticed this chart early on. I actually forgot about it and now wished I had not. If I had remember, I would’ve went long this instead of the SPY because I knew it already had some strength behind it going into earnings. A strong bullish engulfing off short-term support with indicators trending up.

In closing: I apologize for three short posts in a row, but like I said is has been a very busy week in AKOT’s house. My plan for the morning: See how the mkt. reacts to the econ. news, if it is an obvious over reaction, trade against it. If it is a slow-moving action, wait for a good entry and trade it. I think, unless we get way wte econ. news, the mkt. has digested some of the bad news with this volatility. So, considering today’s move, I will close my calls early in the day, and then trade against the first big move of the day, if it happens early in the day. If I don’t see it forming, then I will go into the weekend in cash. Trade well and prosper. AKOT

« Previous Entries

Twitter Updates

Subscribe via email

Subscribe to akoptiontrader by Email

 

March 2010
M T W T F S S
« Feb    
1234567
891011121314
15161718192021
22232425262728
293031  

Twitter Updates

    follow me on Twitter