Position Trader setups - at the moment, are there any?

    Posted by zaru on 19th of Aug 2008 at 04:29 pm

    Matt, Steve,

    Given that the S&P is transitioning out of the rising wedge, and that oil/gold may be transitioning back up in a corrective wave (or whatever), is it correct to think that there are no position trade setups to go long on daily charts at the moment, and that we're waiting for a trend to develop, to get into SDS/DXD/QLD, or XLE/DIG, or GLD/GDX?

    Thanks.

    Short the broad market (see

    Posted by dodgerdog on 19th of Aug 2008 at 06:55 pm

    Short the broad market (see our SDS and DXD setups) and long the energy complex (would like to see the XLE gain support of it's 20 day MA). However, this may only be some type of extended bounce in energy since alot of damage has been done - only time will tell but this area is setting up in a bullish fashion (needs to confirm).

    Personally, I despise many of the financial stocks (especially the Wall Street Brokers who are helped create the whole mess. Consumer discretionary stocks should also come under pressure with the credit crunch and if oil catches a bid.

     

    zara - it depends, you

    Posted by matt on 19th of Aug 2008 at 04:46 pm

    zara - it depends, you could buy the oil stocks in the wedges i.e. we are Long DIG right now.  See my gold chart below, that is a set up.  You have to adjust to market conditions. 

    xle.PNG xle is your best bet

    Posted by cwa82675 on 19th of Aug 2008 at 04:34 pm

    xle is your best bet long.  starting to breakout of its downtrend here with positive div on 60 and daily.  gold was also a good bet, but you may have to have wide stops.

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