Monday, March 16, 2009

Optimism is Showing

There has been a rally. 4 days. Optimism is showing. Thus, it's likely for another bottom test, or at least a scare, while our citizens assimilate the changes that are taking place fundamentally within our banking and financial sectors, now the backbone of our economy because the U.S. no longer successfully manages. The markets Friday went to our resistance tops at 7292, and again pushed at 7060, in tight trading.

Both of our signals were profitable for day trading Friday. The March 370 Call was a 1.50 average contract profit, and day traders played the April 320 put for up to 2.00 per contract, and many traders made second buys.

We'll hold the April put as hedge, and watch futures carefully, and recommend a call today for March expiry, same day trade only, for tight profits, again watching news and futures before a buy.

If upside occurs take tight profits, and leave money on the table. Last week we had good returns in the OEX, and we'll watch the rally, or bear market rally with open arms. Our newest Dow Projections are below; remember, Dow projections are some of my best work, and can be key to your option trading success.

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