The market opened with a drop that came within the first 30 minutes to 9685. It helped carry Europe down to a lower close, and the market spent the rest of the day trying to "hold up."
Day traders on the October 500C were able to lock fast 20% profits on the buy down. I saw more strength initially in the downward movement, and continue to see it, and several subscribers wisely wrote me "should I get in on the downside" to trade the call. It is important here each trader follow their own intuition and risk/ratio warning, as calls did have potential and the market may indeed not be ready for downside yet.
Our Dow projections are clear in how we see what the market could do, and profits could be good on whipsaw.
The following article we think perfectly explains the thinking of inflation, and the rising or holding unemployment that is not patterning with a rising economy. This is an important read.
http://online.wsj.com/article/SB125348951896526259.html?mod=djemITP
And lastly, on my first day back from vacation Advanced Mentoring client MR, who I was emailing with concerning his work, I'd like to quote how he sees option trading, as this is how traders learn what true trading is:
"It’s neat. It’s mathematical, yet artistic. It’s kinda like Jazz music. It flows, randomly and seemingly uncontrollable at times – but it has structure that may not be readily apparent at first glance. Many don’t appreciate it for what it is, and don’t take the time to really get to know it so that they can appreciate it – even fewer take the time to learn how to play it. I’ve lost a little money doing it so far – but I am starting to be more honest with myself about expectations, limitations, and abilities. More often I can think and feel when it is a good time to trade, and when it’s a good time to watch, document, and learn. It will come with time."
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