Monday, November 17, 2008

Getting Close To Raw Panic

Another choppy, rudderless day until they shot the market out back in the last half hour again. We are now over 700 points off Friday's high and certain technical levels are close to being violated. The XLF is pennies away from all time lows, that if breached, in my opinion will be the straw that breaks the markets back. If 8000 goes this time around, expect the worst. See my chart on the $DOW from last night for more of my thoughts.

All in, a very choppy day. I made some great trades and got stopped out on a few but it was a green day. I posted BBT last Tuesday as one to watch and today I was pinged on my screen for the alert. I shorted it at my level for about a buck and re-ntered later in the day at $27.70. I kept it over night. It closed at 26.60. I think the financials are ready to break. It's a risk but I have a cushion. I also kept a little SDS overnight.

More later, out to dinner with wife and kiddies, both made high honors so off to their fav, Applebees.

Mustard seeds.


GS751 said...

Even though the VIX is not hitting 90 there is a crapload of fear. It's like a friend of mine said that trades financial futures. For every 1 buyer it just seemed like there 2 sellers. lol

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I am a former hedge fund manager, broker and capital markets dude who now trades for his own account. I love what I do. I will try to post some stocks and an occasional chart that looks attractive for entry.I will also try to point out the idiocy of conventional wisdom and the lack of value added by the mainstream financial media. These postings should not be viewed as recommendations.