yeah. Didn’t think the open would be so strong.. Just going to sit in cash untl we get to that 140ish area. Bought some tvix yesterday, but i think that’s a decent hold even with todays drop
Anthony, if you are buying straight calls you’ll get killed on the time decay. You should do spreads if you think it’s going up there. But, you shouldn’t be chasing this now as the biggest part of the move has already happened.
In fact, the short term charts (4h, 2h, and 60min) are getting overbought now. By Monday (or today) they should roll back over. So yes… we can go higher, but you will be chasing it now.
A long position should have been taken yesterday, but I wouldn’t have taken it. They was no way of knowing how high they would rally up. Yes, the short term charts were oversold yesterday and today should rally, but they could have also traded the market sideways while the charts got overbought.
In today’s case they didn’t, but instead rallied hard from the oversold charts. Other times they could have chopped sideways. The market is ready to rollover but will probably chop around for several days frustrating both bulls and bears… and then finally tank for good.
You know they will push this out until the next ritual date…
lookinlike we might touch that 140 zone… Tempting to go short at that point
The SPY is hitting a rising trendline and trying to breakthrough…
http://screencast.com/t/gNq6R1CewdYK
Rising trendline on the ES…
http://screencast.com/t/CirY1SkOk9
Looks like it’s going to be last august all over again
Lots of resistance in this zone San…
yeah. Didn’t think the open would be so strong.. Just going to sit in cash untl we get to that 140ish area. Bought some tvix yesterday, but i think that’s a decent hold even with todays drop
I don’t think that’s how they add up the ritual numbers TS.
Anthony, if you are buying straight calls you’ll get killed on the time decay. You should do spreads if you think it’s going up there. But, you shouldn’t be chasing this now as the biggest part of the move has already happened.
In fact, the short term charts (4h, 2h, and 60min) are getting overbought now. By Monday (or today) they should roll back over. So yes… we can go higher, but you will be chasing it now.
A long position should have been taken yesterday, but I wouldn’t have taken it. They was no way of knowing how high they would rally up. Yes, the short term charts were oversold yesterday and today should rally, but they could have also traded the market sideways while the charts got overbought.
In today’s case they didn’t, but instead rallied hard from the oversold charts. Other times they could have chopped sideways. The market is ready to rollover but will probably chop around for several days frustrating both bulls and bears… and then finally tank for good.
ES Resistance levels:
http://niftychartsandpatterns.blogspot.in/2012/08/s-500-futures-resistance-levels.html