Mos Oil

USO, looks to be bottoming looking at the chart. It has bounced off 28.24 a couple of times providing some support. I am long at 28.90 and my out is the 28.22 and I will adjust as it moves up. The 50 MA may provide resistance.


Here is MOS, I went short I am trying to play the range it has been in for the past couple of weeks. It has failed to break out above the 40. I also liked the doji 2 days ago, and a decline the next day. It also is forming what might be the right shoulder of a head and shoulder pattern. My out is 40.50


This is Astoria Federal, its a bank around Long Island and Queens and I used to have an account with them. They stink and the stock market knows it too. I've been short since 11.02 and my out is the orange line at 10.48. Sucks for you Astoria Federal, take that and all your dumb fees you charged me. Karma is a bitch!

Bye Options

I took a break from trading the past couple of days. I took it on the chin, and lost all my gains for the month and some capital. I was trading only options and really have little experience in them, but the times I was trading them I made some good bank, till last week I got caught in the bear trap on the 21st and made some stupid trades after. So I am not trading options anymore, they just don't suit my style and to be honest I don't know how to trade them.

So I went back to square one and went back to my old style. I needed this ass kicking, I was getting to cocky after some great gains last year and this month(which are now gone). So touche, Mr.Market.

I entered some new positions and they are doing good. Charts to come later, my eyes need a break.

A bottom so you think.

Below is a chart of the $NYSI (NYSE Summation Index). "the Summation Index provides a longer range view of market breadth and is used to spot major market turning points. "(stockcharts.com)
To me this provides a pretty accurate indicator of turning points in the market. From DecisionPoint, we learn more the about the Summation Index.

"The direction of Summation Index movement, up or down, is an indication of whether money is moving in or out of the market. When the Summation Index moves below the Zero Line it is an extremely negative sign for the market and indicates that a long-term down trend is in progress and is likely to become more severe; however, it is also likely that a significant market bottom is a few weeks or months away. Once the Summation Index drops below the Zero Line, we should anticipate a bottom in the area of -1000 or below. Once that oversold Summation Index bottom has formed, it provides strong evidence that a major market bottom is in place.


Looking at the past declines and rallies in the market, one can gauge where the market is at this current time.
Each time we have had a major decline two things happen with the $NYSI. First when the $NYSI turned negative and declined past the Zero line, we had substantially declines in the market. Since May 19th, the index has not climbed back above the Zero Line.
Each decline has found a bottom when the $NYSI is below the -1000 line. Each bottom was also signaled by a bottoming in the RSI and STOCH crossing signal. The same can be said for each top of the market before a decline, the RSI signaled overbought and STOCH have crossed.



So looking at where the market is now, we have rallied off the Nov lows and the $NYSI is above the Zero line, the first time since April of 2008, before the market had its biggest declines. But the $NYSI, looks to be heading south towards the Zero Line. The RSI is overbought and the STOCH is at its highest level since the start of the bear market, but has crossed giving a sell signal. Although the SPY looks to be bottoming the $NYSI is not showing a sign of a bottom or being oversold. If we cross below the Zero line the market could decline significantly, breaking the November lows. If we are bottoming we need to see the $NYSI turn around and head north, not south for the winter.

That Just Happend Bulls

Shake and Bake! We play for keeps!

I closed some of my SPY and DIA Puts. Still holding my XLF, MS and BWLD puts.
Took a loss on my CNQ and HAL.

I entered a Put position on SPG(Simon Property Group). For the obvious fundamental reason, that SPG is the owner of commercial real-estate properties. If you haven't heard, retail is spitting up blood and dying and finally people realized they don't have money to shop, as this continues store closings will increase. Empty properties mean loss of revenue and profit and so on and so on.
Lets look at the chart though.
This a 10 year weekly chart. The 200MA and 50MA have now formed the death cross. The Trendline is clearly broken and both the Stoch and MACD are coming close to sending a sell signal. I will add to my put if I get these signals. My out is 52.26 and I am looking for 30's for a target.

Today is the big day, Obama gets into office and will fix the country in 5-7 business days. Unfortunately the country is beyond fixing. Once again that market is going the in crapper because of these banks. Overseas lead the way with RBS losing a boat load and England getting a $100 billion bailout. Pipp Pipp Cherrio Lad all is well.
Across the pond we have BAC needing money, C needing money.
So just like last time, banks will lead this market down. Lets look at XLF. Which I have APR 9 Puts on.
As of 8:12 it is trading at 9.20, we break this line and it could be free fall time.

Right now XLF is at the bar having a good time, he wants to go home but his friend's SKF and my Puts are telling him to stay. So right now he has a choice; he stays lands up blacking out, making out with a large lady and landing up back at her place and having to do the walk of shame or he goes and only stops off at the dinner for cheese fries and wakes up with heart-burn and a bad hang-over. Its your move XLF.