It was a good day for me. I shorted another contract at 1224.50 in the morning. If tomorrow is a down day I'll close one at the EOD, if not I might wait till Friday.
Actually I changed my mind. I closed one position at 1214.75. Net two shorts at 1242.75 and 1224.50, Covered one at 1214.75 and still short 1 contract. Although I feel that the market is headed a lot lower I have been burnt in the past when I did not take some money off the table. Just did not want to make the same mistake again. I will short any 2 day rally here.
you may want to cover a large gap down tommorrow. 1200 is not important. What is important is staying with a position until what got you in no longer applies. just a thought
Thursday's recap. I covered one of my short at 1214.75 on Wed. night, the market closed around 1220 so I was glad that I took some of the money off the table. I shorted one more contract at 1219.50. I usually like to wait for a 2 day pullback but today's action didn't seem so promising. I noticed that there were almost 3X new lows vs. new highs and the declining issues were more than advancing issues. This tells me that there are few blue-chips that is keeping the market up but that should crumble soon too. If you look at today's price action it does look like a V-bottom upside reversal, but the last hour was not as strong as I'd like to see to be long here. The bullish advisors to bearish advisors ratio increased too. This usually never happens at market bottom. I'll cover this at EOD tomorrow either it is an up day or a down day.
should see a decent pop tommorrow... with the thoughts of Rita weaking. The problem is at this juncture is traders' eyes are set on nature... not technicals or fundamentals... hence the rally today. It can be frustrating because I think many peaople have the itch to buy cuz they saw the london bombings, Katrina, so with Rita they will NOT miss the cheap buy. But over all I agree with your short side biases. The problem is we have to have the pocketbooks to ride out the buy the dippers.
It was an alright day. The market went down to 1215 and I thought that it was going to go further down but it managed to rally after that. I moved my stops to 1227.75 on both positions. I had planned to exit out of one of the positions had it been an up day or a down day. It closed at 1220.5 and I want to be short at around that price so I did not cover. So far I am short 1 contract at 1242ish and short the 2nd one at 1219.5. Had the last 2 hours been strong I would have exited my position. Plan for Monday: If the market manages to rally in the first two hours I'll exit otherwise I'll keep my positions open with a stop at 1227.75.
I exited out of one of the positions at 1225.25 with a little loss. I'd still short again tomorrow but just did not want to carry that risk overnight.
Wow, what a day!!! It wasn't too good for me and that's because of my fault. As you know that I have been short 1 contract from 1242ish and the other one at 1219.50. I exited out of one of those contracts last night and my plan was to sell in the morning but due to lack of discipline I screwed it up. I had changed my stop on the other contract from 1227.75 to 1234.75 and I was fine with that and this morning I wanted to short at 1227 but instead I covered at 1227. When the market started falling I was disappointed. I guess you win some and you loose some. Today's action seemed like a upside-down V-bottom reversal. Although the market did not close below 0, it seemed pretty weak for the 2nd half of the day. The last half-hour could be short covering. This evening I did what I need to do, I still think the market is headed lower so I shorted 1 contact at 1222 and it is currently at 1222.5 with a stop at 1232.25. I have noticed that many people think that the market will go up or down because of the oil, I disagree. We had a bear market when oil was below 30 too. The main thing that will take the market down is high inflation and high valuation and we have plenty of that right now. We'll see how it goes.