4 replies to this topic

[NAV]

Right near DOW 12490. Bought DJX 12600 puts for $1.35

[arbman]

This must be a very short term trade since the indices are just coming out of their declining wedge with a high volume capitulation at the lows. This usually marks a sustainable bottom for a day or two... The USD is declining, the operators are willing to pump up the markets even more. The small spec in the futures shall be crushed before a sustainable move lower, imho. In fact the option traders will turn fully bullish in any rally from here to close the gap. The gap itself is also a bearish gimmick, with the current monetary model, the value of the stock markets is only measured by the inflation numerology, not what the companies earn anyway. I used to think the gaps as the inflection point in the earnings, but I favor now the gaps need to be something like 20-30 points to be considered anything of that sort now. You devalue a currency by inflating or drain enough from the money supply, you can close any gap up or down eventually... - kisa

[Iblayz]

Just posted this elsewhere...



I have closing sell signals as of yesterday's close on the QQQ, NDX, Nasdaq, SPX, DOW, OEX, RUT, NYSE, and SPY. In addition the SOX had a negative signal line cross (didn't go high enough for a sell) as did the BKX. The BKX cross occurred in a midrange indicator area but at a price point below where last week's buy signal occurred (negative). SMH has gone high enough for a sell but the cross has not occurred yet.

I have been almost totally unavailable for two days. I turned on the computer yesterday with the intentions of shorting the open (I had to leave for the day shortly after) even though no signals had occurred. I was so busy that I just chose not to bother since no signals had fired. I do not like the trade when the signals fire at the close of a drop like yesterday's since the signals are short term in nature. But I like the signal much better when they bounce it the next day. I really wasn't expecting a big one here (drop that is) since internals had been so strong (except volume) but there you have it.

[NAV]

Added more DJX puts for $1.05 around 12520 level. Avergae price now works out to be $1.2

Edited by NAV, 12 April 2007 - 11:32 AM.

[vitaminm]

DJX/3min sell but 5-15-30 min buy DJWPV /1.75/1.05 high/low