WATCH LIST COMMENTARY: Dow off over 67.00, NASDAQ down over 35.
WBMD, LCAV, SBUX all come off the WATCH LIST, leaving only IR and the volatile ^SOXX semiconductor index
IR barely remains on the WATCH LIST with close at $38.66 only $0.16 over the WATCH LIST PRICE of $38.50.
^SOXX finally goes on the retracement from its previous August high. ^SOXX drops over $14.00 to close at $437.12 still on the WATCH LIST, but big drops takes the index out of the money by $2.83. We still need to look closely at this issue. Hopefully looking for some follow through on the down side regarding the 50% retracement with this issue. If this index is off again tomorrow, we might consider putting in a stop on the upside as well as selling an out of the money put credit spread to reduce our exposure on the call side. ( This can be done for no extra margin requirement if you have the right broker.). This is the key position we will watch tomorrow. If this position is down, look for a possible put credit spread position to be added. Tomorrow's action will be important, there is a chance we might act during mid- day.
Expect this month to have a lot of volatility.
CURRENT ISSUES ON THE WATCH LIST - 9-06-06