Like a Slow Moving Clock

Like a slow moving clock, the market finally turned. By late afternoon trader saw market tops of 11,281. Traders were profitable again (3 in a row) on our recommendation for the new call, and the August570C was available as low as 9.40, selling to a 15.70 high. Easy and profitable trades on the upside.

Floyd-super week. HIt 30% Monday, Tuesday, and 40% Wednesday. Each trade like clockwork. Takes stamina, but I am learning "no noise"-Thanks-Nat M., Nebraska

"I have done very well on the puts and calls this week, and am following the Dow projections to a T. You surprise me with your blunt honesty on things, and I'm impressed with your educated read on how we think"-Dave L., Chicago

The trigger for upside had nothing to do with a healthier market, simply a lowering in oil prices, and good quarterly reports from Intel and Abbot. Market tops may have been reached. What occurs today is key...if a committed market continues to increase in volume a true follow through day could occur. We're suspicious of it.

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Essentially oil exporting nations have a window of perhaps 15 to 20 very good years ahead during which they can invest in alternate energy sources and continue to grow and diversify their economies. As the economies further diversity (Dubai for instance now has about 85 percent of its economy in nonoil industries) the economies become even more independent of oil.

The Middle East is only doing, in their export of oil, what we would do if we had this resource, and is doing it smarter than we are as buying consumers, or in the use of our own natural resources.

We as Americans have created the bubbles financially that are invading our economy.

"73% of Americans think fuel prices are bigger problem for the country that climate change". "64% of American s support lifting the federal ban on offshore drilling.

As always, the Chubby Americans see no future, only the present.

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Many traders do not prepare for the market, and follow signals. They do not anticipate what support and resistance will occur during the day, nor do they see how news can move bias directionally in whipsaw within hours.

Strong traders spend much of their time watching the market, and being very certain of when they option trade, and trade in larger quantities. This type of trader has control of his or her emotions, and follows the market as a "living organism" in their reading of the news, or analysts reviews



One of the most important things I teach, that traders never do, is to coach yourself. Keep a journal of your trades, and your behavior. Review yourself.

I would think almost 90% of my first year subscribers do not keep a journal, or "try it only once."

You must know you to trade. It is that simple.

The more you know about the market and what you are trading, the better. You are watching for patterns, for open interest on a trade, for why it is happening. Supply and demand.

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To succeed trading constant psychological analysis must take place. You are preparing your mind constantly for change, and for being able to look at your own behavior. It is your behavior that is interpreting the effects of the market, and thusly affecting yourself.

Part of what OEX Options and Floydism does is coach you to coach yourself. Do not expect to find a signal and buy it, or to suddenly get rich. Be the trader that makes a living, not a killing.