America Wants Good News

Yesterday the market hit Dow lows of 7812, our support bottom, twice. It moved close to 8000 several times. Calls were profitable for day traders, but continued to simply "hold", and puts did not gain value proportionately for the downside, the primary reason we had hesitated for a put trade yesterday, and continue to. As you'll note, we believe March expiry premiums are much too high, and volume still too low, and we'll stick with our open call sell offs through today or tomorrow, looking to sell at various Dow tops. All it takes is a catalyst to "break" the market, either leading to upside, or freefall.

We continue to see a large gain potential within the next several days. America wants good news, and we're long the call because of how support has held. We might miss, but let's hold our positions to see if a doubling can occur. Something is up.

It is hard to make money trading options around ranges like this, especially near expiry. And the world waits. Let's not risk new signal buys, yet.


In our Floydian therapy service we ask questions like What Do You Want? And we always find people list possessions first, before Dr. Floyd can hone them in to "no, not stuff, YOU."

Here's from a subscriber:

"You may like this article http://www.cnn.com/2009/HEALTH/02/10/happiness.possessions/index.html . It fits with your "What you WANT does not mean "buying stuff" or possessions." philosophy.

Mike"

Another subscriber wrote yesterday had an interesting comment:

"Floyd, I've been trading the Feb400 and Feb410 calls with you for a week, and have traded in and out a whopping 14 times now, all profitable. I just watch the Dow, like in your videos, and stay calm, go away from the computer, not get excited. I've learned so much from you, it's more like a teacher than a service, and when I saw 14 trades in a row, I never thought I could do it. And I've got inventory in the 410 still , so sure hope the market breaks. Thanks- Don in Wisconsin"