Posted by essexdowntown on 29th of May 2008 at 12:48 pm
TWM made new lows today while the SPX and DOW are way off the
highs from last week. Matt did you close out your TWM
position or for that matter does anybody still hold it?
essexdowntown- I personally don't hold any of these since I'm a short
term trader I sold them on Friday. Remember each trader is
different, swing traders could still hold on with an objective stop
so I'll probably leave them on the Watch List. Also, as we
stated in the newsletter, one could have hedged these short ETF's
via going long the ultra Longs. I will probably leave them on
there for now.
However take a look at TWM on the
Watch List, I listed a STOP at 70 on my comments from May 23rd, so
that could have been closed out previously. (
chart)
So this brings up a point, how do I
close these ultra short ETF's out? Since Steve and I stated these
would pullback and as a result some people sold them on Friday and
Monday or hedged them with ultra longs or took 1/2 profits on the
initial moves, the point is some folks made money on these and we
warned that the market was oversold and the ultra ETF's would
pullback, so do we close them out for losses when in reality folks
could have sold 1/2 previously or hedged and had warning? Not sure,
swing traders could still hold but they need to define their
stops.
You see guys, this is where the
Watch List becomes a 'gray area' and why it is hard to manage,
really it is a list of trading ideas and I'm going to rename it
Trade Ideas
Posted by roamingjan on 29th of May 2008 at 01:39 pm
Matt, I think you were very clear in the Weekend Newsletter and
in last night's Update that anyone holding index shorts had to
expect a possible "window dressing" rally. Personally I am holding
my existing short ETFs (since, until further notice, we're in a
bear market) and plan to add to them tomorrow if we get a nice pop
similar to today. I also started averaging into some golds today
since Gold dipped closer to the 850 area.
You & Steve are fantastic technicians -- Thank you!
Posted by drorlando on 29th of May 2008 at 01:11 pm
Matt: You and Steve do excellent updates. traders
need to keep in mind your updates, BUT your shorts are still a buy
because we are in a Bear Market. So I would change nothing,
just keep updating as you and Dodger are doing!!
I agree that we are probably close to a top so I am holding
onto QID. I don't mind holding through the upleg as I
missed the turn anyway. (not a daytrader)
The Nasdaq summation index is pretty telling. I also like
the fib day count thing.
Matt: It would be nice if we do end up doing something in
Las Vegas if you could put on a class on how to read the short term
and intermediate term indicators. Also maybe some trading
strattegies for each type of market trading style. FinaM
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TWM
Posted by essexdowntown on 29th of May 2008 at 12:48 pm
TWM made new lows today while the SPX and DOW are way off the highs from last week. Matt did you close out your TWM position or for that matter does anybody still hold it?
TWM
Posted by Michael on 29th of May 2008 at 01:09 pm
I'm holding most of the indexes short.
essexdowntown - I personally don't hold
Posted by matt on 29th of May 2008 at 01:00 pm
essexdowntown - I personally don't hold any of these since I'm a short term trader I sold them on Friday. Remember each trader is different, swing traders could still hold on with an objective stop so I'll probably leave them on the Watch List. Also, as we stated in the newsletter, one could have hedged these short ETF's via going long the ultra Longs. I will probably leave them on there for now.
However take a look at TWM on the Watch List, I listed a STOP at 70 on my comments from May 23rd, so that could have been closed out previously. ( chart)
So this brings up a
Posted by matt on 29th of May 2008 at 01:06 pm
So this brings up a point, how do I close these ultra short ETF's out? Since Steve and I stated these would pullback and as a result some people sold them on Friday and Monday or hedged them with ultra longs or took 1/2 profits on the initial moves, the point is some folks made money on these and we warned that the market was oversold and the ultra ETF's would pullback, so do we close them out for losses when in reality folks could have sold 1/2 previously or hedged and had warning? Not sure, swing traders could still hold but they need to define their stops.
You see guys, this is where the Watch List becomes a 'gray area' and why it is hard to manage, really it is a list of trading ideas and I'm going to rename it Trade Ideas
Matt, I think you were
Posted by roamingjan on 29th of May 2008 at 01:39 pm
Matt, I think you were very clear in the Weekend Newsletter and in last night's Update that anyone holding index shorts had to expect a possible "window dressing" rally. Personally I am holding my existing short ETFs (since, until further notice, we're in a bear market) and plan to add to them tomorrow if we get a nice pop similar to today. I also started averaging into some golds today since Gold dipped closer to the 850 area.
You & Steve are fantastic technicians -- Thank you!
Jan
Watch List
Posted by drorlando on 29th of May 2008 at 01:11 pm
Matt: You and Steve do excellent updates. traders need to keep in mind your updates, BUT your shorts are still a buy because we are in a Bear Market. So I would change nothing, just keep updating as you and Dodger are doing!!
Market Shorts
Posted by finam on 29th of May 2008 at 02:02 pm
I agree that we are probably close to a top so I am holding onto QID. I don't mind holding through the upleg as I missed the turn anyway. (not a daytrader)
The Nasdaq summation index is pretty telling. I also like the fib day count thing.
Matt: It would be nice if we do end up doing something in Las Vegas if you could put on a class on how to read the short term and intermediate term indicators. Also maybe some trading strattegies for each type of market trading style. FinaM