The market has moved up for three consecutive weeks and we’ve hit new market highs several times, only to be held back by major resistance lines. And we now enter the Christmas week, with trading volume light. We will only trade through Wednesday, believing Friday to be very light volume or our final day to trade a signal.
Traders reported 5 successful .50 to .70 cents per contract profits last week on calls, two on puts, and most broke even on the signals with the light movement we saw in the slow grinding upward climb.
First the economic calendar:
http://noir.bloomberg.com/
_____________________________
We live, trade and breath right now from FEAR. It pervades the world consciousness and is more of our energy than anytime I’ve seen in 60 years in life.
I read always with great interest about Wikileaks, as I believe more that the facts being released are both free speech, but alarming about what the idiots are doing that run our world. From a letter writer in a Florida paper:
Info- terrified
If WikiLeaks represents a new phase of info-warfare (or info-terror) leaving many of the world’s leaders with egg on their face, I’ll welcome this new development any day over bullets and napalm. (Catch Me, And I’ll Drop A Bomb of data, Assange Warns- Dec.6)
Those used to calling the shots and being in control instinctively understand that for them, the nub of the WikiLeaks problem is not that it’s releasing government or military “secrets.” That’s bad enough, but there’s a bigger concern, one with far more unsettling long-term implications: the populist, or is it anarchist? under current that’s driving WikiLeaks and similar websites and movements. They reflect the growing scorn and mistrust with which many ordinary people view our governing elites and their cronies.
The Internet and social media have profoundly changed the news and media industries. Now, these same forces are changing politics in ways our governing elites are beginning to see, but don’t yet fully understand.
The essence of democracy is an informed electorate, and so, while I have to wonder who appointed Julian Assange the guardian of knowledge and truth, I can only applaud the spirit of what he is doing, even if I don’t always applauds how he is doing it.
Ken Cuthbertson, Kingston, Ont.
Although Gold and Silver are both weakening we don’t see the top yet, and project upward movement on both metals at least until February 2011. WE have sold some of our precious metal positions recently near tops, but remain heavily invested in GLTR.
In actuality there is little going on in the market. We are seeing higher highs, but always a hold up near 11,550 area, the highest we’ve seen the market in two years.
We see crude oil continuing its upward climb only for the shortest term. Any drop below 88.10 may signify an oil decline. We have sold our Exxon calls, and a majority if not all of our Exxon position for hefty profits, but maintained our Chevron holdings.
______________________________
For a market dip and its potential, watch for any closings on the S&P below 1226; if the S&P does moves below 1200 we suggest the Dow will then hit its 10,000 area bottom support test. Cycles themselves are down until the end of the year.
We suggest light movement and thusly light profits on all open or new OEX option signals during that time period. Any order must include your knowledge that a larger second buy may occur.
For Blue Chip subscribers we have been taking profits, depending upon your financial risk and type of investment, on all holdings where we show 20% or more profits, and want to enter the year in more CASH than stock, except for our ongoing 15% minimum in precious metals and 30% in TIPS inflation bonds.
We continue in 90% of our stocks to only pick dividend paying stocks; our new higher rollers, such as SHZ, where we returned 50% in a few short weeks, or NENE where we returned 30%, only to buy again near the $2.00 range, waiting for more volatilty.
Economists and Wall Street strategists expect stocks in general to rise 10% next year, as an economic expansion takes hold. We agree with summation, as the GOP will now try to take credit for things “getting better”.
Recent “expert testimony” that is provided to hedge funds and money managers proves Floyd’s long term belief that the market is maniuplated, just as it was proven recently that Silver calls were manipulated by two brokerages over a two-three year period.
As this is an open dialogue to both services we will share with Blue Chip subscribers here to continue to hold the option positions:
-WMT LEAP
-PG LEAP
-SLV short term 3 month call
This is a bad sign: U.S. companies spent 92 billion on their own shares in the third quarter. Contrary to popular belief stock buy backs or splits do not influence the stock positively, in more cases than not.
Lastly the USD is less valuable, at least in trading. China’s currency is emerging now in Global foreign exchange markets.
During the week we will issue three new potential higher risk break out stock buys, in which volality will be high, and the risk higher. With this comes the risk that brings greater rewards.
No comments:
Post a Comment