Geopolitical Uncertainty Trade Kicking In

Oil and gold are rallying from tensions in the mid east, while at the same time oil companies are bidding for storage capacity, not a long term bullish sign for the Texas Tea.

It should be a fairly thin week, I think most of the year end portfolio maneuvering is finished but there may still be some jockeying for position as we approach the New Year.

ROH is getting spanked off the DOW news and the arbs are getting massacred there. DOW will be one to keep an eye on going forward.

This will be a week of extreme preparations for me as I put together some thoughts for the new year and my trading will be very light, unless of course the market can catch some volatility. By the way I did a post last night on TG's blog if you missed it. Have a great day.

Trader Radar-DOW

This one looks iffy to begin with, but this news isn't cheery.

Late Fade

So I acquiesced and bought a solar, actually two, SOLF and SPWR.I did great on both as I caught them early.What a group when their giddy up wants to go. What a give back though,especially FSLR which gave back about 10 points off the high. I hear a broker came out negative around 2pm. I thought the financials would try to rally but it ended up to be pretty lame. The DOW gave back about a 100 points off the high and some of the tech stocks were racing to close near their lows of the day. Not a healthy sign. The SPX is near a triple top around 1420-22. The NDX gave up all its gain and more, and broke its initial support. I am back in a little USO short, I was always told to trust my gut and I went against that yesterday. I'd rather be wrong than a wuss by not having exposure. I still like SOLF but it may need a rest.If oil does correct I wonder how the solars will react, really not a major correlation in the past. DRYS over a $100 again-wow.

I never owned an auto an airline or a retailer, but if the latter rallies further I will short the bejeezus out of the group.If this is just a rally in a bear market I will print money on the way down. I do think the consumer is in the crapper- and it will get much worse.

LEAP,SY,ADBE all acted fairly well today. Be careful, a hard rain might be coming.

Patience

The Dow appears to be in the same trading range since the second week of January. It would not surprise me to see a test of the lows in the next two or three weeks. I think any rallies can be sold or shorted until we see that level in my opinion. QID,SDS and DDM will remain my good pals until this gets resolved. I will keep a very short leash on longs with extra close stops in here. Remember, the biggest money is always made from these vicious corrections so don't get depressed. This is an awesome time to be doing homework and finding the leaders on the way up