Thursday, September 3, 2009

The head n shoulders part 2 marches on....

spare the love (hate) goldbugs, I don't wanna hear it. That's WHY i sold all my DZZ (and EEV) on Monday. (and w/ profits too....for the DZZ portion it was almost even enough to to fill up my gas tank once, after the commission fees). I feel bad for anyone who was short gold after Monday. When things don't feel "right" at does the saying go? "when in doubt, stay out"
Well, It saved by butt this time, by abiding by it. No reason to "fall in love" with a trade if your sentiment decreases while the trade hovers at nuetral.

That is exactly why I went in all cash.

Again, what i would "like" to see, is a pump job up on anemic volume tomorrow from some fabricated jobs numbers. That would be awesome. (if we got that, I would strongly think of buying some puts before the close, actually I know I would, on the market, not gold)
-BLK puts to be specific, is one that I am looking at very closely and if it moves up tomorrow AM, I will be buying puts on it for a short swing. (unlike the intact spy wedge from 666, blk juuuust broke from its own) . I think BLK is as overvalued as they get. However I also thought sbux was overvalued 25% ago, and I still do. So i could be dead wrong. (that's what i get for gaming earnings) But if we get a pumpty pump tommorow, blk puts are getting some of my attention.

Hopefully, after this holiday weekend ahead of us, the SEASONAL volume starts to increase as it typically does for September, thus making it more difficult to manipulate the markets, and the 20 min prior to close "pump jobs", wont be as effective. But again, that's just bearish speculation. The main point is that more volume makes it easier to identify trends, be it in either direction and LESS prone to drastic moves by 1-2 players.
blog comments powered by Disqus