Wednesday, June 10, 2009

My First Dib Buy in a while

This is the sign everyone. I have done my first long purchase that was not a hedge or a 5-10 pt day trade. Entered long via SSO and some ES futures as well. 4 point stop on both of them.

XLF has found its trendline, S&P found its trendline (or close enough) and we are at 930 our previous distribution zone top.

Yes a bit speechless about this move as well here. Lets see how it plays out.

EDIT: Just some reason why I did this here.


  1. good call chris. let us scare the bulls. i think we may see 955 or 965 this week. but next week we will see 850 or even 800.

  2. keep in mind. The day the last bear turns bullish is the day we will have made the top =)

    And you know me, as bear as it can be, here I am buying the upside of the market. In all honesty though its a low risk trade here. At most I risk 4 points with a nice upside for a break of 947.

    If you take out the GS overnight resistance GAP trickery - we have an almost natural attempt to take out a resistance level of 947. We keep seeing ourselves back at this range with sell offs that vary on support levels. This is the third sell off from this range and each time we are making a higher low. However, we need to get ourselves back to a 937 close. Anything below that and I may close out positions to take profits.

    Looking at today only, the chances of a late day sell off are quite high - under normal conditions. Maybe I am testing the bulls here to see if they will come in. If not, I will feel a lot better to start to looking at my short entries yet again.

  3. what the heck are you talking about sama? how are you scaring the bulls by going long?

  4. pretty sure its a type and its supposed to mean bears. Happens to the best of us.