Looks like a fade the gap play today

Discussion in 'Trading' started by EtfTraderLives, Sep 15, 2008.

  1. 7:40EST ES 1207.50
    If you are short here and getting greedy, I'd cover.
     
    #11     Sep 15, 2008
  2. NY_HOOD

    NY_HOOD

    i'd cover my shorts as well but i would not buy this gap daown. most profitable thing to do would be to sit tight and wait til tomorrow.
     
    #12     Sep 15, 2008
  3. Hate to say it, but your being a little too scared on the buy side NY_HOOD. I understand what you are saying though man. But I feel there is a good 25 ES points here to the upside. Free money with low risk. A 50 point gap down is going to bring about covering and then sell off into the close.

    The news with Merrill is good (however I see Merrill common going down in this fall below the $26 offer), Lehman news is very bad and weighs heavily on todays sentiment. AIG is the real focus for me.

    AIG is down nearly 50% on the open. Wouldn't touch it with a ten foot pole.
     
    #13     Sep 15, 2008
  4. NY_HOOD

    NY_HOOD

    i hear ya brother. just think its safest to sit out for today. does'nt mean there won't be some opportunity but who needs the aggrevation. just be careful,this thing to free fall right through support levels.this may be something we never seen before.
     
    #14     Sep 15, 2008
  5. Slow squeeze and covering happening imho on ES. I see two waves up first target 1220, then pullback and spike to high 1230s fwiw.
     
    #15     Sep 15, 2008
  6. This $26 MER offer from BofA looking like it could go sub $20 on close by EOD. Not good for BofA imho.

    I would like some input on why MER isn't trading $26 here on the open. Thank you.
     
    #16     Sep 15, 2008
  7. NY_HOOD

    NY_HOOD

    i think bank america bought it at the behest of the government. i think the government is assisting banks in picking up some that are doomed for failure. should be interesting as all the facts unfold later this year.
     
    #17     Sep 15, 2008
  8. AIG making a little run here but probably gets pounded into oblivion. Sub $5 looks in the cards imho.
     
    #18     Sep 15, 2008
  9. ES 1220 hit and setting up for follow through and spike
     
    #19     Sep 15, 2008
  10. 10:00EST
    Would not short here on ES... will get run over imho
     
    #20     Sep 15, 2008