All Calls and Puts Were Profitable

The FEDS babbled, and we won!

All calls and puts were profitable, and we begin the day with no inventory. The market moved to highs of 13,050 before falling to lows of 12,769, right at our top resistance and first support lines.

"For the first time, I absolutely followed your instructions (90% of the way) on the May 630 calls. Bought at very close to best buy price (2x) and held to 23. It was so tough to hang on through the uncertainty of the day. I used the R3 number as my top and got out at really great profits. After 6 weeks of doing this, I can finally say I stayed the course and realized the profits I had been missing- time and time again by not following the subsets and sell prices. Granted, my trades had been profitable, but not like this.

Buying a signal service would not compare to this!! I did have to work for the trade, however I knew how and when. Thanks for your instruction"-R

And from another trader who writes:

"Floyd, two way trades again, profits of 25% both directions. Your Dow projections are like a science. I've learned to not listen to any talking heads, not read any bull___in the Wall Street Journal, and to trust almost no fact. I'm up 86k for the year. Thanks” -J L.

And another successful trader – RC writes:

“Sold all of my May 650 puts – no inventory
Bought @ $10.00
Sold @ $15.80
$29,000 profit

I will go fishing now and wait your instructions for tomorrow to make another $29,000

THANK YOU!”

In 2007 alone, American assets of 400 billion were sold to foreign buyers.

To date the Federal Reserve has invested over 400 billion in saving Bear Stearns and the New York banks.

It’s relatively obvious that the “paper” in the market (bonds, debt obligations, appraised valueless of assets) are quite suspect, and our Federal government is considering “controls” in place. Say this twice…the FEDS will put controls in, and try not to smileJ

We borrow 2 billion a day from Europe, Asia, and the Persian Gulf to continue the democracy build in Iraq.

Although “I’m always right” Bush is a large part of this mess, we can’t blame this on just the Republicans. The former Clinton “blow job” regime had a bubbled stock market that led to great excess, but they at least did not spend the money, and did balance the budget.

Credit cards will be next. Visa, MasterCard, Discover and all the credit card games are also filled with false financials, as the assumption of bad debt is another false paper game that will be exposed, as debt happy consumers will soon be unable to pay.

As gas approaches $4.00 a gallon, it’s relatively obvious that it is oil traders leading the game, not supply and demand, and with the Iraq bet for “free oil” (part of the Bush game) an utter disaster, and new cars still coming out that get 16 miles to a gallon, and selling….it’s clear this will yet again be a country that lets the horse out of the barn, and then closes the door. We never stop.

7 in 10 of cancer deaths in China are pollution related.

The current annual deficit of the International Monetary Fund is 140 billion. 8 of 10 U.S. voting citizens do not know what the International Monetary Fund is.

Lastly, another subscriber cancellation prompts more commentary. Trader “S”, who quit a few days ago, may decide to come back to us. All of your comments opened his eyes a bit.

But, trader “D” just quit, and in our inquiry why, his response was:

“A few weeks ago I emailed you with three questions. You did not answer any of them but you did rebuke me for not papertrading more. I was disappointed.

Your incessant political ranting is not instructive. A macroeconomic analysis might be more helpful. The current reduction in market volatility will make it more difficult to trade options. I have learned most of what I was looking for when I subscribed. Thank you.”

And here's my response:
1. I apologized if my answers were incomplete. (If I am ever unclear, please always write me again)

2. I am proud to nag everyone to paper trade at least 90 days. It's plain stupid to not do this. Tough.

3. I will ramble on politically. I wish I had done this years ago when Bushy was making us safe in Iraq, and first cutting taxes. 8 years later we're a complete mess politically, economically, and seem ready to elect the same type of idiots again. It's time to argue, and it does affect our economic longevity. Our debt is sad. We must begin to elect like stock traders, recognizing "false facts".

4. "Macroeconomics" is defined as: "The field of economics that studies the behavior of the aggregate economy. Macroeconomics examines economy wide phenomena such as changes in unemployment, national income, rate of growth, GDP, inflation and price levels. Macroeconomics is focused on the movement and trends in the economy as a whole, while in microeconomics the focus is placed on factors that affect the decisions made by firms and individuals. The factors that are studied by macro and micro will often influence each other, such as the current level of unemployment in the economy as a whole will affect the supply of workers which an oil company can hire from, for example."

a. Unemployment facts are falsified by the Government.

b. GDP facts are bull crap.

c. Six idiot economists in a room can't agree on whether we are in a recession. Bush knows we're not.

d. The entire study of a long term trend is like smoking dope in the White House. No long term trends can be identified at all in option trading, nor would we want them to.

5. Funny that this subscriber thinks we have a reduction in volatility. He's plain nuts. It's been the best and most volatile index option trading I've seen in 6 years.

This is a subscriber I could not help. He believes too much in what he reads, and doesn't agree on what really does influence the market.