SPY TRIPLE TOP - I just bought some puts.

With all the bullish signals, a rising 10, 28, 50 moving averages, Bull Flag chart pattern on SPY and the general steadfastness of the market to shrug off bad news ( Fridays job report) I wouldn't bet the farm on down side. SPY is overbought, you might see few days of weakness, but what if you are wrong and it punches through to 142? Are you willing to take losses on some far out visionary bet?

 

Thinking the pattern terminated here. I am out for +189. Might see 205.60'ish by end of week.

 

It appears my puts are up nicely from yesterday.

It appears this is just how imagined it. The SPY roaring into the close like an airplane on fire.

 

You're a noob who has just joined.

The spooz is hardly down at all. How much have you made? $100 dollars?

 

My strategy in trading the index etfs is long dated in the money calls/puts. Its a conservative strategy, but it does make me considerable cash and is the majority of my trading.

I sometimes go long/short stocks, but mainly trade the spy and iwm. Its worked for me for quite a while now as the indexes direction seem easy to predict.

It was a no brainer when the S&P was at 1550. If it didnt make it higher, then you knew that nine months later you would be sitting at the level we are now. When the puts were cheap then, you could have made a good deal throwing 10 grand at those puts.

You tell me what you think. I think the spy will go to 124 and that is the point where I would consider unloading. However, my gut instinct tells me that we will be sitting at 115 by the summer.

Mark this post and bring it back up when it hits 115. I feel certain and sometimes thats a contrary sign, but it just seems so right when you look at the 10 year chart.

 

That's your definition of down less than 1/2 of a percent?

I thought the market would be soft today but the fact that it's holding up as well as it is makes me nervous, especially after the 9-to-1 up day we had last week. I got out of my puts about 1/2 an hour ago. We could go lower from here but I'd rather get flat and relax and see what happens for a few days at least.

 

114 by the summer DeepFried.

 

http://finance.yahoo.com/q/bc?s=T,BAC,CVX,XOM,GE,JPM,JNJ,MSFT,PFE,PG

Look at the top 10 holdings of the spy which consist of 20% of the entire etf. Do any of these charts look bullish to you?

 

I am with you in spirit on this one but am chicken to short here. Just a little news good or bad will be rally material.

 

None of that means shit. The charts were very bearish in October 2002 too, and the market surged.