Monday, July 13, 2009

Positioning

Well I have recovered slightly from an emotional perspective hah. While I do believe the short term trend is still up as mentioned last week, I am going to scale into shorts here regardless of prices. Small chunks over the next few days with new entries every 2 hours. I still have my hedge so my P/L remains fairly flat as we move higher.

At least something good here. Overall I am going to continue first with SRS/SKF chunks, will probably scale into my first puts tomorrow and will be looking for a futures short entry. Lets see where this market will take us but I am looking for a move towards the 891, 895, 899 SPX ranges still.

8 comments:

  1. Last friday's long paid off for me. Out of longs as they were July calls, which can disappear very quickly.

    Thanks Chris for your posts. Started in shorts at 893. will wait for 899 to load up more.

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  2. really wish I could have participated on the long side. I knew this move was going to happen, had probably one of my best positions for this move to pay off nicely with minimal risk. I am baffled how such a good trade can turn out so disastrous for me.

    The chances for my trade to turn out as it did, probably <1% and yet it occurred. Someone once told me to not set any stops during overnight. Considering my track record with getting stopped out overnight just for the trade to reverse into my direction has been quite high now.

    Very frustrating .... this day goes back on my wall of shame with a nice write up. Makes it day of shame #3 in 2 months.

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  3. I have see good and bad results due to stops. It felt like just to get to your stop they will move the market for a fraction of seconds and then turn around. Mental stops have done OK those too are very trick and governed by greed or fear. I got out today out of a fear of killing time on an opex week.

    it looks like we heading 899 now.

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  4. Crhis, do you see neg. divg. (momentum) on spx here? still looking for 899?

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  5. Bought some august puts for sds at 897

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  6. I added some shorts here ... but a bit concerned. A day like today technically should close at its highs with a last hour rally.

    Keeping my stops tight for this one.

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  7. I am hoping at least for a test at the VWAP which is 6 pts away but I do not think we will get there unless we have some selling step in.

    XLF is really pushing SPX up pretty high - however its very close to resistance, same with IYR. Looking at our channel we are yet again at the top of another trendline. I will post a picture shortly. One of my reasons for entering a short here but still emotional from this morning. Lets see what the market does from here.

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