Buying again

Discussion in 'Trading' started by Ghost of Cutten, May 7, 2010.

  1. So, we had the expected morning washout. VIX made a higher high but the S&P didn't get near yesterday's lows. IMO we have hit bottom for today and will rally, closing significantly green, and then rally next week also.

    Safe haven plays like Yen should also get whacked.

    Best thing about this trade is you have a nice close stop at today's lows 1090 on the ES. 15 points downside, maybe 50-75 points upside if correct. Obviously if it breaks 1090 then get out :)

    Calls are also a nice limited risk way to play it.
  2. If anyone is long I would sell at least half into the first minute or two of RTH trading. Especially calls, put in some crazy offers and hope they get lifted. Any remaining longs should IMO be jettisoned around limit up on the ES.