It's How We Chart

Last week was exceptionally profitable for OEX Options and we were profitable in 8 of 8 trades. To trade successfully last week took nerves of steel just to watch the market vacillate.
We did act contrarian last week, believing the market had more upside potential, and would "hold" at the head and shoulders pattern. During the week we heard from every bear in the world that we were ready for another and deeper correction, and a new "bottom test."

This may be true but we continue to see more economic good news than bad, and think contrarian again that the market has more upside potential, to 10,450 area before hesitancy, actually breaking the 10,350 resistance struggles we've been at for a week.

We "fall in love" with an option. It's how we chart. We effectively are learning the trading range of an option itself around the support and resistance lines. For over two weeks we've been playing the July OEX 500 Call, and it's our contrarian trade to start the week.

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Hmmm:

1. 39 trillion is the collective worth of millionaires in 2009, an increase of 19%
2. There was a 17% increase in just the number of millionaires in 2009

3. Not including the primary residence there were 10 million people who had a net worth of at least 1 million.

*The Feds have announced that rates will hold "for the near future" with no inflationary plans. Translated: The FOMC is a valueless instrument that creates much of our financial greed and panic, and have told us yet again what is obvious.

*It has been made clear now that President Obama is responsible for everything wrong, and Sarah Palin wants us to compare him to Hitler. He can do no right with BP (Government intervention to the conservatives, amateur belief in BP by cynics, and not enough of a hard stance by others.

I'll stick with Hitler.

This is all important as it shows how we are being misled, and we "fall" for tricks. The Palin babbles, split votes, are all signs of dissension caused by two things:

1. Karl Roveian politics, the brilliant way we got a guy with an IQ of 98 in the WhiteHouse for 8 years so that "the boys could do their thing."

2. An immature party of people that will allow no bill to pass, effectively stalemating the country in any decisions.

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Simply put we are a nation, and perhaps a world, that have polluted ourselves, in all ways, with "plan b" for when the pollution begins rotting us.