Profits were tight on both the call and put, both only profitable to .50. With the lack of moment in the market we'll keep both signals open. The bias to 3 to the call is light. It is an anything goes market.
Weaving Straw Baskets-Fifty Steps to Understanding
1) We are fearful of our bodies. Of sex. This is true more in the U.S. than most nations, and is something to be studied. But in the meantime, have more sex.
2) The old funeral question has merit “What would they say for my epitaph, and who would come?” It goes well with a general personal and introspective look that we must do and only you can do, and that is to look inside and ask what you contribute, and if you are good.
3) Things are not as they appear. What we see is not what is, but only what we know so far.
4) Much of what is smart repeats itself, and is never done.
5) All the religions really say the same thing, and sadly it will be religion that could divide the world.
Friday, December 11, 2009
Wednesday, December 9, 2009
Breaking the Ice
The market yesterday finally broke the ice and the Dow hit bottoms of 10.209 by 10 a.m. OEBXT puts were profitable with low buys of 3.30, and high sells to 4.60 by early afternoon.
Astute traders watching by the minute, however, are the ones making those trades. Read our open and new signal instructions carefully.
The argument is: will it finally fall more, or has it hit a bottom, and we'll have a short December upswing? Stock shifting in funds takes place, and for tax reasons, and normally excites the market, and many believe in a "Santa Claus Rally."
Bernanke has already announced that he'll keep interest rates low. Obama is doing the circuit on ideas for creating jobs.
And....we are near a Fibonnaci top.
Weaving Straw Baskets-Fifty Steps to Understanding
1) There are simple ways to release unwanted stress.
2) There are ways to learn to relax and feel better physically.
3) There are ways to be happy.
4) Life is typically unfair and a series of negative events that are overshadowed in our memory by the positive events.
5) Few people enjoy their work, making most of their life TV, sleeping, or doing something they do not like. These people lose their strength and general well being as time progresses.
Astute traders watching by the minute, however, are the ones making those trades. Read our open and new signal instructions carefully.
The argument is: will it finally fall more, or has it hit a bottom, and we'll have a short December upswing? Stock shifting in funds takes place, and for tax reasons, and normally excites the market, and many believe in a "Santa Claus Rally."
Bernanke has already announced that he'll keep interest rates low. Obama is doing the circuit on ideas for creating jobs.
And....we are near a Fibonnaci top.
Weaving Straw Baskets-Fifty Steps to Understanding
1) There are simple ways to release unwanted stress.
2) There are ways to learn to relax and feel better physically.
3) There are ways to be happy.
4) Life is typically unfair and a series of negative events that are overshadowed in our memory by the positive events.
5) Few people enjoy their work, making most of their life TV, sleeping, or doing something they do not like. These people lose their strength and general well being as time progresses.
Tuesday, December 8, 2009
The Market is Frozen
It is this simple. The market is frozen. We hit highs of 10,483 by 3.00 p.m.,and lows during the same whipwsaw of 10,320. The 520 Calll was profitable for up to 1.00 per contract in extremely hard and tight trading. We'll keep it as an open signal because of this, with NO second buy, waiting for a what we think might be a final push to 10,550 and beyond.
But as we noted in our alert yesterday this was high risk, and today is. When no bias is clear it's any "anything goes market" around trigger points. We will additionally list a similar put, also high risk,for those that want the exposure to a double risk.
Floyd is not personally trading this market. It's too flat to make money.
Weaving Straw Baskets-Fifty Steps to Understanding
1) We are here to learn lessons and will struggle through until we learn them. They may be very simple lessons.
2) In all steps of the life experience, and the dramas, people tend to put love in the background, or it becomes part of the events.
3) Love is life.
4) If you repeat an action many times, it becomes a habit. If you continue, “using the habit” it must be something that you value, or the habit will become instead a self-destructive tendency.
5) Unrealistic expectations occur from being dishonest with you. If you expect success at something you must earn it, and few that are lucky last.
6) The question What Do I Want is the most important question you will ask yourself in your life. Your answer defines your happiness. The question is not to tell yourself what possessions and monetary dreams you wish to come true, but to answer, “What do I want”.
-----
Many traders write me personally and get to know me. It's part of this service. As students progress to Level 3 or Advanced Mentoring invariably they want to "replicate" what it is that I do.
So, here it is:
1. I trade only when I am sure.
2. When I am on a run of successes I trade more, and when I begin to lose I stop trading.
3. I take "fishing days" where I just watch the market.
4. All that matters in economic timing to me is the next two weeks, not the next two years.
5. Stocks must have a reason to go up in value besides performance or product, and I recognize this as I invest.
6. Rules are part of our system, and I follow them. There are times I vary, but only slightly, and not often.
7. Trading is pitting my mind against others than are trading the same signal. I must recognize this.
8. When I fail, I write down what went on. Was it me? Was it emotions? Or was it just the market with a sudden surprise?
9. When I overanalyze I stop.
But as we noted in our alert yesterday this was high risk, and today is. When no bias is clear it's any "anything goes market" around trigger points. We will additionally list a similar put, also high risk,for those that want the exposure to a double risk.
Floyd is not personally trading this market. It's too flat to make money.
Weaving Straw Baskets-Fifty Steps to Understanding
1) We are here to learn lessons and will struggle through until we learn them. They may be very simple lessons.
2) In all steps of the life experience, and the dramas, people tend to put love in the background, or it becomes part of the events.
3) Love is life.
4) If you repeat an action many times, it becomes a habit. If you continue, “using the habit” it must be something that you value, or the habit will become instead a self-destructive tendency.
5) Unrealistic expectations occur from being dishonest with you. If you expect success at something you must earn it, and few that are lucky last.
6) The question What Do I Want is the most important question you will ask yourself in your life. Your answer defines your happiness. The question is not to tell yourself what possessions and monetary dreams you wish to come true, but to answer, “What do I want”.
-----
Many traders write me personally and get to know me. It's part of this service. As students progress to Level 3 or Advanced Mentoring invariably they want to "replicate" what it is that I do.
So, here it is:
1. I trade only when I am sure.
2. When I am on a run of successes I trade more, and when I begin to lose I stop trading.
3. I take "fishing days" where I just watch the market.
4. All that matters in economic timing to me is the next two weeks, not the next two years.
5. Stocks must have a reason to go up in value besides performance or product, and I recognize this as I invest.
6. Rules are part of our system, and I follow them. There are times I vary, but only slightly, and not often.
7. Trading is pitting my mind against others than are trading the same signal. I must recognize this.
8. When I fail, I write down what went on. Was it me? Was it emotions? Or was it just the market with a sudden surprise?
9. When I overanalyze I stop.
Monday, December 7, 2009
What a Day
What a day Friday. The market moved right back up to 10.557 by 10.30 a.m. allowing traders to sell out at profits on the open Dec 520P, just in the nick of time.
Job data came in "moderately" good, and Obama has tried to clarify and explain the job situation is not as simple as we Americans think. Much like why we had to bail out banks, not because it's right or normal, but because the situations we've inherited are so severe that the solutions are ones that are not ideal. We as a nation seem to never understand detail.
The position hit the same top we've experienced time after time before beginning a dramatic fall, all before noon. The NASDAQ has now returned all the 40% 2008 losses.
For those that criticize Obama for everything, we neglect to discuss banks that are repaying TARP money, a stock market dramatically up, and corporations downsized that showed good balance sheets.
For those that have forgotten the Emperor Bush deficit, or that this financial debacle began long ago, not on Obama's watch, I have watched in awe as the neo right has used theater to influence the American people that we are becoming socialistic, simply for giving rights to those that have formerly never had rights.
When Glenn Beck, and Rush Limbaugh, and Sarah Palin are the spokespeople for many I know that much of our country is already lost in stupidity, and that more and more are buying guns to "protect themselves." (I'm 59, have traveled in over 79 countries, and have NEVER had a need to use a gun).
Weaving Straw Baskets-Fifty Steps to Understanding
1) Many of us live in a circle of pain, in which we repeat the same negatively dramatic action with a group of others, all interacting within a black comedy drama. And able to be resolved.
2) Most of us do not know really know ourselves. When I ask clients to “tell me about themselves” they tell me about their jobs, their possessions, and lastly their families. They never mention themselves.
3) Most that appears obvious is not. Most that does not appear obvious is.
4) We are all in therapy at every moment. Most of us just don’t admit it, or use it.
Job data came in "moderately" good, and Obama has tried to clarify and explain the job situation is not as simple as we Americans think. Much like why we had to bail out banks, not because it's right or normal, but because the situations we've inherited are so severe that the solutions are ones that are not ideal. We as a nation seem to never understand detail.
The position hit the same top we've experienced time after time before beginning a dramatic fall, all before noon. The NASDAQ has now returned all the 40% 2008 losses.
For those that criticize Obama for everything, we neglect to discuss banks that are repaying TARP money, a stock market dramatically up, and corporations downsized that showed good balance sheets.
For those that have forgotten the Emperor Bush deficit, or that this financial debacle began long ago, not on Obama's watch, I have watched in awe as the neo right has used theater to influence the American people that we are becoming socialistic, simply for giving rights to those that have formerly never had rights.
When Glenn Beck, and Rush Limbaugh, and Sarah Palin are the spokespeople for many I know that much of our country is already lost in stupidity, and that more and more are buying guns to "protect themselves." (I'm 59, have traveled in over 79 countries, and have NEVER had a need to use a gun).
Weaving Straw Baskets-Fifty Steps to Understanding
1) Many of us live in a circle of pain, in which we repeat the same negatively dramatic action with a group of others, all interacting within a black comedy drama. And able to be resolved.
2) Most of us do not know really know ourselves. When I ask clients to “tell me about themselves” they tell me about their jobs, their possessions, and lastly their families. They never mention themselves.
3) Most that appears obvious is not. Most that does not appear obvious is.
4) We are all in therapy at every moment. Most of us just don’t admit it, or use it.
Thursday, December 3, 2009
The Market is at a Stalemate
The market is at a stalemate. We hit highs of 10543 by noon, and lows of 10,380. We're making an adjustment to our Dow projections below.
Our new signal OEBLD DEC 2009 520.0000 CALL was available for .50 to 1.00 per contract profits, but it took true day trading to watch the market for the tight profits.
We will list this call as an open signal because of the difficulty in trading it, but not yet list a put. We see more odds of a new Dow projection high.
-----
"Gold's gyrations are the Dow Jones Index of Anxiety. When investors are scared about inflation, political turmoil, debt, financial breakdown-demand rises....
When things calm down demand and the price of Gold subside.
All that has changed with the advent of ETF's for Gold. In the past, if one wanted to buy gold, you had to really buy the raw material, the coin, the commodity, or invest in gold mining stocks, each fraught with their own risk. When the ETF Gold (GLD) and other versions came on the market the individual investor, and smaller emerging nations, were suddenly able to be investors.
For the past 38 years, since Nixon the idiot took us off the gold standard, the world has been engaged in the historical experiment of a single currency, the USD, that has no link to Gold.
Gold is the one currency that central banks, in any nation, can't print. It may take us a few more years for us to realize this, but the central banking system is fraught with error.
So to say this well: The Bank of India just bought 6.7 billion in Gold.
Weaving Straw Baskets-Fifty Steps to Understanding
1) Most things are manipulated by the few at the top of the capitalist pyramid that control the outcome, no matter what is done.
2) We only have what we remember.
3) In our reality our mission is really to give, love, flow and make and have memories.
4) Our perspectives can change in a minute. Values and goals can shift as fluid water. What we thought becomes not what we think.
5) Money must be understood. It is a “construed value” commodity, only worth the value that we put on it.
Our new signal OEBLD DEC 2009 520.0000 CALL was available for .50 to 1.00 per contract profits, but it took true day trading to watch the market for the tight profits.
We will list this call as an open signal because of the difficulty in trading it, but not yet list a put. We see more odds of a new Dow projection high.
-----
"Gold's gyrations are the Dow Jones Index of Anxiety. When investors are scared about inflation, political turmoil, debt, financial breakdown-demand rises....
When things calm down demand and the price of Gold subside.
All that has changed with the advent of ETF's for Gold. In the past, if one wanted to buy gold, you had to really buy the raw material, the coin, the commodity, or invest in gold mining stocks, each fraught with their own risk. When the ETF Gold (GLD) and other versions came on the market the individual investor, and smaller emerging nations, were suddenly able to be investors.
For the past 38 years, since Nixon the idiot took us off the gold standard, the world has been engaged in the historical experiment of a single currency, the USD, that has no link to Gold.
Gold is the one currency that central banks, in any nation, can't print. It may take us a few more years for us to realize this, but the central banking system is fraught with error.
So to say this well: The Bank of India just bought 6.7 billion in Gold.
Weaving Straw Baskets-Fifty Steps to Understanding
1) Most things are manipulated by the few at the top of the capitalist pyramid that control the outcome, no matter what is done.
2) We only have what we remember.
3) In our reality our mission is really to give, love, flow and make and have memories.
4) Our perspectives can change in a minute. Values and goals can shift as fluid water. What we thought becomes not what we think.
5) Money must be understood. It is a “construed value” commodity, only worth the value that we put on it.
Wednesday, December 2, 2009
Gold Reached a Record
Futures were up 78 points at 6 a.m. and the line from Bloomberg says it all:
Stocks Rise Worldwide as Dubai Concern Wanes, China Expands; Dollar Drops Stocks rallied from London to Shanghai and the dollar fell as Dubai said half of its debts are “stable” and Chinese manufacturing grew at the fastest pace in five years. The yen fell the most in seven weeks against the dollar, while gold reached a record.
This is what happened in overnight trading, proving Floydian theory that the Dubai debt would be covered within days, and that the losses were all known. And the next piece of pre-market news:
√U.S. Stock-Index Futures Gain as Alcoa, Barrick, Exxon, Citigroup Advance U.S. stock-index futures advanced, indicating the Standard & Poor’s 500 Index may extend yesterday’s gain, as China’s manufacturing grew last month at the fastest pace in five years and commodities rallied.U.S. Stock-Index Futures Gain as Alcoa, Barrick, Exxon, Citigroup Advance U.S. stock-index futures advanced, indicating the Standard & Poor’s 500 Index may extend yesterday’s gain, as China’s manufacturing grew last month at the fastest pace in five years and commodities rallied.
It's with this kind of "bravo" pre-market that typically leads to reversal.
Weaving Straw Baskets-Fifty Steps to Understanding
1) The majority always leads, and always forgets history.
2) Everything is really okay.
3) Everyone wants to dance, many in different ways, many so they are never seen, many so they wish they could be seen, and many that are always seen.
4) Negotiation is the art of understanding FEAR and GREED.
5) The mood of the public is first trended by stock markets, which show levels of optimism, and supply and demand in the market place.
The market resurged dramatically and was up over 140 points by 2.30 p.m.
Only traders following futures and paying above prior day close were able to profit on our Dec 520 Call, profiting to 20% but most of our traders stayed out of the trade, waiting for bias.
We now have a bias, but think we are seriously approaching a market top.
Stocks Rise Worldwide as Dubai Concern Wanes, China Expands; Dollar Drops Stocks rallied from London to Shanghai and the dollar fell as Dubai said half of its debts are “stable” and Chinese manufacturing grew at the fastest pace in five years. The yen fell the most in seven weeks against the dollar, while gold reached a record.
This is what happened in overnight trading, proving Floydian theory that the Dubai debt would be covered within days, and that the losses were all known. And the next piece of pre-market news:
√U.S. Stock-Index Futures Gain as Alcoa, Barrick, Exxon, Citigroup Advance U.S. stock-index futures advanced, indicating the Standard & Poor’s 500 Index may extend yesterday’s gain, as China’s manufacturing grew last month at the fastest pace in five years and commodities rallied.U.S. Stock-Index Futures Gain as Alcoa, Barrick, Exxon, Citigroup Advance U.S. stock-index futures advanced, indicating the Standard & Poor’s 500 Index may extend yesterday’s gain, as China’s manufacturing grew last month at the fastest pace in five years and commodities rallied.
It's with this kind of "bravo" pre-market that typically leads to reversal.
Weaving Straw Baskets-Fifty Steps to Understanding
1) The majority always leads, and always forgets history.
2) Everything is really okay.
3) Everyone wants to dance, many in different ways, many so they are never seen, many so they wish they could be seen, and many that are always seen.
4) Negotiation is the art of understanding FEAR and GREED.
5) The mood of the public is first trended by stock markets, which show levels of optimism, and supply and demand in the market place.
The market resurged dramatically and was up over 140 points by 2.30 p.m.
Only traders following futures and paying above prior day close were able to profit on our Dec 520 Call, profiting to 20% but most of our traders stayed out of the trade, waiting for bias.
We now have a bias, but think we are seriously approaching a market top.
Tuesday, December 1, 2009
America Loves War
For all the fear over Dubai and the default, the market opened without a bang in early trading, and promptly moved up over 31 points by 10.16 am. Like clockwork we were able to buy the December 500P for 5.80 on the first drop, and sell to 6.80 to 7.20 by midday for tight profits.
The Dow again reached 10,404 in early morning trading, and settled to lows of 10,223 before meandering around for hours. It's proof the bears believe the market will soon fall, but a 68% rise as we have seen typically takes 108 cycle days of downside, and it's unlikely to see a complete fall out.
America loves to kill and loves war, so how we react to Obama's "dithering" when he announces tomorrow night will also influence the market, just as the situation in Dubai has.
What many of us do not realize is that the world is only as we know it, and that does not mean it is as it is. We see only what we are able to see, and know only what we know.
This sounds so simple, and so obvious, yet remains the core of our issues as a a world people. It begins with "the world is flat" and now with electronic newsbites tells us that "two people crashed Obama's party" and we become interested in the security of the issue, or that they are "wanna be" reality TV show stars. This takes us from our real thinking as a human, which is to be better, help others, love, enjoy life, and perhaps learn more about ourselves, or the world.
When we trade options we are choosing a directional bias, and analyzing what "strike" point will be best to buy at a best price for us, from others, and how this "strike" will trade against the market and if we can get a premium price when we sell it. This is playing poker. Selling fruit. Buying and selling flowers.
Our goal is to take advantage of someone else. That is option trading. It is also an art of personal zen, as you are trying not to be taken advantage of. Even by yourself.
Over the next 10 days I'll be sharing with you "Weaving Straw Baskets," 50 rules of life I use in trading:
Weaving Straw Baskets-Fifty Steps to Understanding
1) A rock is not hard.
2) We only know what we know.
3) We do not know what we do not know.
4) There is no real such thing as “I”
5) There are people that do not read at all, and many people that do not read well.
The Dow again reached 10,404 in early morning trading, and settled to lows of 10,223 before meandering around for hours. It's proof the bears believe the market will soon fall, but a 68% rise as we have seen typically takes 108 cycle days of downside, and it's unlikely to see a complete fall out.
America loves to kill and loves war, so how we react to Obama's "dithering" when he announces tomorrow night will also influence the market, just as the situation in Dubai has.
What many of us do not realize is that the world is only as we know it, and that does not mean it is as it is. We see only what we are able to see, and know only what we know.
This sounds so simple, and so obvious, yet remains the core of our issues as a a world people. It begins with "the world is flat" and now with electronic newsbites tells us that "two people crashed Obama's party" and we become interested in the security of the issue, or that they are "wanna be" reality TV show stars. This takes us from our real thinking as a human, which is to be better, help others, love, enjoy life, and perhaps learn more about ourselves, or the world.
When we trade options we are choosing a directional bias, and analyzing what "strike" point will be best to buy at a best price for us, from others, and how this "strike" will trade against the market and if we can get a premium price when we sell it. This is playing poker. Selling fruit. Buying and selling flowers.
Our goal is to take advantage of someone else. That is option trading. It is also an art of personal zen, as you are trying not to be taken advantage of. Even by yourself.
Over the next 10 days I'll be sharing with you "Weaving Straw Baskets," 50 rules of life I use in trading:
Weaving Straw Baskets-Fifty Steps to Understanding
1) A rock is not hard.
2) We only know what we know.
3) We do not know what we do not know.
4) There is no real such thing as “I”
5) There are people that do not read at all, and many people that do not read well.
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