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  Jeff Bailey   3/15/02,  5:04:43 PM
Research In Motion (RIMM) $27.08 -2.83% ... JP Morgan believes it is possible that RIMM could trade lower ahead of its mid-April earnings report, based on the following factors: 1) demand for the US-based Mobitex product is soft, 2) enterprise buying remains weak, offset somewhat by increased penetration of the govt. sector; 3) the GPRS launch is proceding slowly and competititon is slowly mounting from MSFT, NOK, PALM, HAND and others; and 4) the ultimate size of the market remains highly speculative, even with the launch of the voice-enabled device. JP maintins "market perform" rating.

 
 
  Jeff Bailey   3/15/02,  4:28:50 PM
General Electric (GE) $40.19 -0.54% ... making observation that "as bullish as things would appear" with a lot of green on the screen, doesn't seem to be enough bulls around to push this one above the $42.

Been waiting on this to take place since March 6th with a bullish trigger at $42 at that triple-top.

It's just not happening is it?

This may be GE specific, but to me still rather cautious and a sign that not everything is moving higher.

What I'm beginning to think is happening is this.

Bullishness is simply found in strong stocks where the supply/demand relationship is simply favorable for bulls where overhead supply is not found. Fund manager need to look good for their shareholders by end of March, and inflows are robust so they are putting the money to work in the winners.

We're doing the same thing here and I realize that. But, if you and I realize that, then we will be more tempted to sell that strength if/when it hits our target or trade gets more pofitable. You and I will want to take some gains off the table before April 1st when mutual fund managers don't have to dress the portfolio anymore.

At the same time, I pointed out several stocks that don't look very good and actually traded lower in a more bullish market environment. This DIVERGENCE can hint that a fund manger is trying to get the stock out of his/her holdings and selling into some broader market strength while he/she can.

With IRA season rapidly approaching, fund managers will want to look good as Americans wonder what fund to allocate some cash to when they make a last minute contribution.

There is a general perception among investors that a mutual fund holding a bunch of stocks near 52-week highs is a good mutual fund.

However, this may not always be the case. It may be that the fund manager has been holding some Lucent (LU), some Celestics (CLS) and some Oracle (ORCL) and recently dumped (or is dumping) these stocks and dressing up the portfolio to look good.

Are you getting ready to put some money in a mutual fund in your retirement account or 401K at your employer? Don't let the fund manager fool you. Pull up a point/figure chart of that fund and see if he/she has been on the right side of things.

Don't just look at a mangers "top 10" holdings and make a decision as to "this manager is a great stock picker. All of his/her holdings are near 52-week highs!"

You may find some mutual funds where they're trading at the lower end of the range, but the top holding all are near their highs. How can this be? Maybe because they're just getting the clue that tech is out and "boring" is in.

"Boring" can stay in play for years. Right now our strategy is to trade some of this "boring" into late-March or early April and if they get too close to resistance and gains get a little too carried away, then look to exit with a gain.

Then on pullbacks to support, that's where the money that has been buying more steady and committed should be found for new entries.

 
 
  Austin Passamonte   3/15/02,  4:05:39 PM
With no driving force to push markets either direction with strength today, looks like plenty of stocks and major indexes are being pinned to vital strikes at the close. This is the usual for dull expiration days and we try to catch those sessions where volume surges beyond control of floor traders, market makers and large funds.

I essentially broke even today and had some opportunity to do better but didn't. Looking forward to the next two months when history favors me on the third week of each month... can it repeat? Soon find out!

See you in the weekend newsletter sections.

 
 
  Jeff Bailey   3/15/02,  3:55:25 PM
Kohl's (KSS) $71.91 +2.62% ... getting upside alert here at new 52-week and all-time high. Let those fund managers round out those portfolios into the end of March, and I'd sell strength near $77 should stock do what I think. (see intraday update at 01:00) Link

 
 
  Jeff Bailey   3/15/02,  3:52:08 PM
MatrixOne (MONE) $12.36 -4.5% ... got my eye on this one as potential short. Similar chart as that of Rational (RATL) and relative strength vs. SPX not very good.

MONE chart Link

MONE rs chart vs. SPX Link

Good looking "bearish lottery play" in the May $10 puts (MOUQB) offered $0.90.

If she breaks bullish support trend and gives another relative strength sell signal could revisit the lows.

 
 
  Austin Passamonte   3/15/02,  3:24:10 PM
All intraday chart signals just peaked shortly ago and suggest lower levels into the close. But the final hour of expiration Friday often gyrates wildly in opposition of the charts so I'm not wagering the farm on that one.

OEX 588.50 would be breakeven for my entry of Mar 590 puts and have the short S&P play in the black. Close above this level washes my option plays and others for the session leaving my trading day as a scratch. Can't pay the bills with that end result, but it beats taking massive losses. With outside temps in the 70's with bright sunshine and male bluebirds inspecting my nestbox houses, it's an incredible day just to be alive & well!

 
 
  Jeff Bailey   3/15/02,  3:09:32 PM
Internet Security (ISSX) $28.20 -6.49% ... "first test of bearish resistance can be painful for the bulls."

Watch this one on a trade at $25. Link

Study the chart over to the left in November (red B) and reason why a bear may want to see a trade at $25.

Now look at relative strength chart Link of ISSX vs. SPX. See that "red b" and how relative strength was still strong? Now relative strength is "sell signal, but column of X" If relative strength were to turn back into O, me thinks bad things for stock.

This one was brought to my attention by a subscriber that works with some sales people in the Industry and not specifically anyone "inside" of ISSX. Just some negative observations related to the industry and subscriber was testing against the point/figure charts.

 
 
  Jeff Bailey   3/15/02,  2:57:00 PM
Adelphia Communications (ADLAC) $22.40 -0.48% ... just a guess, but I'm thinking she closes at $22.49 today. This goes back to that obscure 500 contract trade in the Mar. $22.50 calls. I think somebody determined to sell at $22.50 by today's expiration and will just sit around here. Noting how stock tends to "rally" above $22.50, then seller shows up and takes out bids. Then stops, lets some bids develop, then sells.

 
 
  Austin Passamonte   3/15/02,  2:53:43 PM
The last two sessions have been quite dull indeed. Triple Witch weeks and expiration in general aren't what they used to be. Still plenty of opportunity to hit doubles and triples intraday, but those +1,000% plays between the bells have been absent for months.

I've always had the best results via expiration week in April and May historically, so hope springs eternal for the near future!

Still looking for a volatile close, especially the final 45 minutes of action. Going right down to the wire in an all-or-nothing type of day with light capital and half-hearted interest. Just didn't have strong catlyst to move markets big today, at least they haven't done so for now.

 
 
  Jeff Bailey   3/15/02,  2:15:42 PM
Hewlett Packard (HWP) $19.23 -0.87% .... jeff, would a straddle make sence on hwp ??? with the vote tuesday could swing a few points either way...thanks I have retracement from $37.95 to $14.50. This has 19.1% right here at $18.97.

What I'd do is try running some calculations with this thinking.

On "bullish reaction" stock may run to $38.2% retracement of $23.45.

Stock has been edging lower in recent weeks as if market is removing risk and now sits right on a support level.

On "bearish reaction" risk may have been somewhat removed. May think that jolt lower may come midway between the 0% and 19.1% which would be about $16.65.

Now run some numbers on the calls/puts for both strangle or straddle and see if the trade makes sense.

 
 
  Austin Passamonte   3/15/02,  2:02:29 PM
Filled on the OEX Mar 590 puts @1.50 just before they dipped to 1.35, which of course has never happened to you! But that's just splittin' hairs. Also short the S&P from 1166.50 with stop at 1170.50 so we're short this market with both barrels. The put options are 100% risk and I'm looking to trail stop on S&P short to entry for a "free play" if/when possible. Nothing to do now but let the next 90 - 120 minutes pass and realize our fate from here.

 
 
  Jeff Bailey   3/15/02,  2:01:17 PM
PeopleSoft (PSFT) $35.97 -0.66% ... having some bearish thoughts on this one, with the thinking that Oracle (ORCL) not seeing much visibility in their conferance call had investors pulling the plug on Rational Software (RATL). May eventually be the case of PeopleSoft (PSFT).

If stock gets much below the 200-day and MACD begins to roll and cross over its signal on daily, then may see declines. Link

Supply/demand characteristic from the p/f chart is still rather bullish, so need to be careful if bear, but notice recent "inside day" from 03/13/02 and break lower on 03/14/02 of $36.44.

Thinking a trader may have shorted yesterday on that break, and stop today would be just above yesterday's high of $37.40.

I will also note retracement I've had in place on this chart for some time from $49.23 to $17.96 has 80.9% at $43.25 (acted as resistance back in January), then 61.8% at $37.28 (broke back below this level recently) and 50% at $33.59 (may be a level where market maker has buy side bias).

With "bad news" from Oracle (ORCL) market makers may be seeing more order flow on the sell side, so they may be using retracement at $37.28 as a point where they have pretty firm offers, and currently assessing downside risk to $33.59 or $29.90 just in case business conditions remain weak like Oracle seems to feel.

Relative strength is still strong for PSFT versus SPX, so would only be looking short/put partial positions and using some tight stops on underlying stock.

 
 
  Leigh Stevens   3/15/02,  1:48:06 PM
Low Volume: There are many comments about the recent relatively low level in trading activity or in the daily volume numbers. There was a bit of a spike up in volume into early-March, but as the rally continued in the first week of this month, NYSE daily volume totals actually started declining. Generally, it is consistent with bullish price action, to see volume expand on rallies, and contract on pullbacks. Volume should expand in the direction of the price trend. Generally, volume activity, especially after the recent strong run up, in that it has been low, is consistent with a bullish bias. Also, in the first phase of a renewed bullish trend, there is almost always a lack of public interest in buying stocks. This keeps volume levels relatively low. Summary: recent low volume numbers are not bearish.

 
 
  Austin Passamonte   3/15/02,  1:45:04 PM
Intraday charts are looking a bit tired right here, so I'll take today's gains on play #2 OEX 590 calls and use that entire amount (not a penny more!) to play OEX Mar 590 puts @1.50 fill into the closing bell. Either I break even today or hit two doubles and finish a happy session with minimal watching of charts today. Should have shorted closer to session highs, but we'll see what happens from here to 4:00pm or sooner... double-double or par for the day!

 
 
  Jeff Bailey   3/15/02,  1:44:25 PM
S&P Banks Index (BIX.X) 691.61 +2.27% breaking to new 52-week high today. All time high was 790 set back in July, 1998.

Here's the $20 box and a trade at $700 would be quad-top breakout. Link

 
 
  Jeff Bailey   3/15/02,  1:38:53 PM
Oakley (OO) $18.41 +0.54% ... after learning yet another lesson from Rational (RATL) and relative strength, I'm checking Oakly (OO) to make sure that I'm not getting into hot water.

Relative strength check looks very good here. Has given two "buy signals" on relative strength. So feeling good about this one. Link

 
 
  Leigh Stevens   3/15/02,  1:22:40 PM
Sentiment and Market momentum: "Sentiment" is the study of how bullish or bearish market participants are in their near-term outlook. My sentiment indicators continue to show good upside potential, as option traders "disbelieve" the further rally potential. This contrary way of looking at things related to the old saying that the market climbs a wall of worry. And, it relates to the potential buying power of short-covering, as the market climbs. Market momentum to the upside, regardless of the worries about the economy and market, FORCES money managers to commit more cash to the market, as they live and die by performance. With the end of Q1 coming up, they cannot afford to be sitting on too much cash as they will lag the market. Lesson and motto: stay worried, but look for buying opportunities.

 
 
  Leigh Stevens   3/15/02,  1:09:39 PM
Major Indexes - Support & Resistance: S&P 100 (OEX) - Resistance: 592-594; near support: 581-582, then 576; OEX, as with SPX, has same minor bull flag forming on the hourly chart. A breakout above today's high (top of flag)at 591, would suggest a "minimum" upside move to new highs around 597-598.

 
 
  Leigh Stevens   3/15/02,  1:01:08 PM
Major Indexes - Support & Resistance: S&P 500 (SPX) - Resistance: 1170-1175 - Hourly chart MACD momentum indicator has turned up and pattern looks like small bullish flag, so we may see test of this key resistance; a break above 1170-1175, would suggest shallow correction here has run its course, contrary to current more-bearish sentiment with possible run to 1200 area as next move; Near support: 1145, then 1135.

 
 
  Jeff Bailey   3/15/02,  12:56:51 PM
CRB Index (cr00y) $203.76 +0.27% is broader commodity based index. Has recently broken out of a relatively modest regression channel that I had on my chart and looking more bullish here.

Noting Copper futures (hg02h) for March expiration up 1.14% at $0.7485/lb. This may well be unwinding in futures market due to expiration related activity. Will turn to April contract (hg02j) soon.

 
 
  Jeff Bailey   3/15/02,  12:48:35 PM
Rational Software (RATL) $16.90 -11.56% ... really thought this one could do well from a couple of days ago. Thought that this part of software sector might be a place for a "computer-related" tech bull to hang out. Link as trend was in bull's favor and vertical count was bullish.

If I have one criticism for myself it is perhaps that relative strength vs. the SPX (broader market) just wasn't there. Will take note, and avoid bullish in the future. Link

If there was one positive, a bull in the underlying stock that may have entered in a lower risk area of $20, where loss would be kept to a minimum. Will move on from here, not dwell on it, but perhaps understand mistake on try not to duplicate in the future.

 
 
  Jeff Bailey   3/15/02,  12:39:38 PM
Celestica (CLS) $37.38 -1.63% ... stock edging near session low. No market maker here, just the specialist. Doesn't look like this one is under any type of aggressive accumulation today. (grin)

 
 
  Jeff Bailey   3/15/02,  12:38:09 PM
Adelphia (ADLAC) $22.00 -2.17% .... stock not doing much. Market maker still trying to protect that $21.42 level and getting a feel for order flow. If it isn't there, then has to assess risk to $18.76.

 
 
  Leigh Stevens   3/15/02,  12:36:18 PM
Major Indexes - Support & Resistance Key Dow 30 (Industrials) resistance at 10,600. An hourly close above this level would set up a test of the cluster of recent highs in the 10635-10655 area. Further resistance at 10,735. Dow chart pattern looks more like next short-term swing is down. Key near support is at 10,475. Best support is in the 10,300 to 10,200 zone. Hourly chart currently has a rounding top pattern, but decisive upside penetration of 10,600 will negate this short-term bearish interpretation.

 
 
  Jeff Bailey   3/15/02,  12:35:23 PM
Natural Gas futures (ng02j) $3.00 ... may be important technicals here if bullish in Apache (NYSE:APA) $55.97 from the high $40's low $50's.

Seeing the April nat gas futures (ng02j) trading right at this $3.00 level and 200-day MA. Any strong break above could send APA into euphoria and toward the $60 level.

Should we see 200-day serve as resistance then may keep a lit on things.

 
 
  Jeff Bailey   3/15/02,  11:34:27 AM
April Gold Futures (GC02J) $289.60 -0.54% ... I have retracement on this commodity futures chart from $316 to $263.30. This type of retracment has 19.1% at $306.09 (we actually alerted traders to sell some strength in their gold stocks at that level), then 38.2% at $295.99 (just acted like resistance) and 50% at $289.75 (been serving as support, but looks like she's going to break) then 61.8% at $283.50 and may correlate with a rising 200-day at $281.

 
 
  Jeff Bailey   3/15/02,  11:29:41 AM
Newmont Mining (NEM) $23.32 -1.56% ... going to start getting more bearish on this gold stock. Inflation not a problem. What interests me about NEM is a HUGE volume spike not long ago on 02/19/02. Major Disagreement in the market depicted by that volume spike on where this one is going. I think lower to $20.37 near-term. Link

I have retracement from $27.75 to $13, which has 80.9% just above at $24.93 and been acting like resistance. 61.8% at $22.11 and 50% at $20.37.

 
 
  Austin Passamonte   3/15/02,  11:20:42 AM
"Lunch is for [sissies]" Gorden Gecko from the movie, "Wall Street". I disagree: when I don't eat I get irritable and cannot think straight. Just ran down to the local deli store two minutes away and grabbed a hot pizza sub on homemade bread that's to die for.

Also see that my second trade today just closed at the sell-limit order parked... played OEX 590 calls on the upside break of failed bearish triangles when price action consolidated near 587 zone. My entry at 0.70 immediately went lower to below 0.60 soon as the order cleared, but sell-limit at 1.40 has me flat & waiting for afternoon action.

First short play this morning stopped for par so no harm done trying the short side early. Let's keep our eyes peeled for a 2:00pm - 3:30pm entry setup that may run nicely in our favor by the close.

 
 
  Jeff Bailey   3/15/02,  10:57:58 AM
JP Morgan (JPM) $35.21 +0.28% ... I know you guys have looked at this stock plenty of times. A friend of mine just told me he bought some. When I look at the charts I see a potential short instead of a long play. Check out the two charts I created and sent him pointing out his risks. In addition, I notice it is in a column of X's on the P&F but right at the bearish resistance line. I also note that it is climbing in relative strength to the $XBD. My call, if it reverses into a column of O's, this stock is headed for about $30.5. If it can break the overhead resistance, it could do a nice move. But, the technicals favor the downside right now.

Yes, we've talked about this one awhile ago when she was trading $29. At time, advice was for bear to be careful as stock just traded its bearish vertical count of $29. Since that time, stock did dip to $27 (accounting concern exposure), but has since rallied back to bearish resistance. Bullish vertical count now reading $55. Link

Bear may need to be careful and keep eye on the KBW Bank Index (BKX.X) which has come to life and blasted throurgh its bearish resistance on $5 box. Link

Now we get "mixed signal" right? Let's do this. Let's change the box size on the BKX.X, try and get the charts to line up and see if we can't get some better correlation points of support/resistance.

If I change BKX.X to $10 box, I still get a rather bullish chart Link . Hmmmm.... strong looking sector. Analysis now becomes that if sector strong, need to be careful with JPM short. Might see a little pullback, but there's got to be some better candidates.

 
 
  Jeff Bailey   3/15/02,  10:39:56 AM
Biomet (BMET) $32.06 +2.92% ... what I liked about this stock was that it was right down near bullish support trend (blue +) and thinking if the RXH.X were to break above $325, then similar move takes place that we've seein in HMO from a couple months ago.

Biomet Link

RXH.X Link

 
 
  Jeff Bailey   3/15/02,  10:33:31 AM
Biomet (BMET) $31.88 +2.36% ... part of my thinking here is that fund manager comes in at latter part of month and "paints the tape" on this one, getting her back near a 52-week high of $33, so she looks nice in the portfolio. Wears a big smile in front of the board when talking about strategy and how healthcare is supposed to show the best earnings growth this year. Link

 
 
  Jeff Bailey   3/15/02,  10:31:43 AM
Biomet (BMET) $31.98 +2.72% ... darn it. Trying to put together a bullish trade in this one. Doing some analysis on the $RXH.X Link and BMET Link

Both sector/stock making a bold move today.

 
 
  Jeff Bailey   3/15/02,  10:27:13 AM
Adelphia (ADLAC) $22 -1.82% ... yesterday we noted the big volume in the 60-minute chart, thinkin market maker brought stock down and most likely ran a large trade for a customer that was sell based with a net proceed to the customer of about $22. Notice how stock is gravitating to that level right in here. Look at the volume and you can almost "count the cards" and understand how market maker is trying to control his/her inventory in the stock. First goal is to get rid of that 1,000,000 shares above the $21.40 level. Link

 
 
  Jeff Bailey   3/15/02,  10:13:47 AM
Celestica (CLS) $37.58 -1% ... I'd be getting aggressive with a short in this one. Link

Yesterday, subscriber pointed out that stochastics were "oversold." Yes they are. They were also "oversold" back in February, when stock was breaking $40, then "oversold" when stock traded $32.50 a couple of weeks later. Link

If the trade doesn't fit your criteria, then simply wait. If a move takes place to the downside then forget about it and move on to another trade that fits your criteria. Stay within your discipline.

For me, I've missed about as many moves where stochastics told me to stay away as I have gotten in a trade that went a bit against me when stochastics said stay away. Over time, I just haven't had a lot of success with stochastics, so I don't rely on them too much. If I see a trade that is 50/50 and I'm looking for a "deciding" vote, then I'll look at the stochastics for the "swing vote," but other than that, I don't really use.

 
 
  Jeff Bailey   3/15/02,  10:11:52 AM
Treasuries seeing a bit of YIELD reversal here as YIELDS have all reversed lower. This may hint that there are some participants "selling the news" in stocks. Very tough to say with triple-witching upon us.

 
 
  Jeff Bailey   3/15/02,  10:07:53 AM
S&P Retail Index (RLX.X) 962 +0.36% edging higher after consumer confidence released, but not a real big surge. Bull would like to see a trade at 965 to get this index back on a p/f buy signal, then give a good bullish vertical count. Link

 
 
  Jeff Bailey   3/15/02,  10:02:25 AM
Adelphia (ADLAC) $21.85 -3% ... short-term bear may want to stick a bid-to-cover out at $20.05 if that would make you happy before the weekend. $20.00 is about the mid-point of our downward regression channel and you might just get a fill there today.

 
 
  Jeff Bailey   3/15/02,  9:57:28 AM
Michigan Consumer Sentiment comes in at 95.0, which was stronger than expected reading of 92.7.

 
 
  Jeff Bailey   3/15/02,  9:53:27 AM
Rational Software (RATL) I'd turn on this one and short/put it. Looks $12 if it trades $17.50.

 
 
  Jeff Bailey   3/15/02,  9:51:02 AM
I keep trying to mix in a bullish tech play every so often, but they just aren't working. Tech is so out of favor compared to other areas like retail, healtchare and some of the "boring" stocks it isn't even funny any more.

Way too many land mines still to negotiate, that I hate even trying to look at a technology stock right now.

 
 
  Jeff Bailey   3/15/02,  9:49:01 AM
Rational Software (RATL) $18.04 -5.6% ... this is concern of mine. Weakness on terrible earnings and guidance from Oracle (ORCL) is going to have many in software group with "like" business of ORCL trading lower. Look to exit RATL here.

P/f still bullish, but trade at $17.50 is doom. Link

 
 
  Jeff Bailey   3/15/02,  9:46:39 AM
Trades above the ask price yesterday subscriber also saw some 5K, 25K, 79K trades take place above the ask. What's that about?

Often times we'll see some trades that take place outside of bid/ask. These are often times "negotiated" outside the market as they are larger size (25K and 79K). One dealer will call another, tell him he's got stock to buy or sell, negotiate a price and then trade will run. These can also be "late report" where the trade was actually run between the bid/ask when being worked out over the phone.

 
 
  Jeff Bailey   3/15/02,  9:40:25 AM
Oakley Inc. (OO) $18.31 .. not open for trading yet. I have retracement from $26 to $10.29. This results in 38.2% at $16.29, 50% at $18.14 (broke above yesterday) and 61.8% at $19.99. Looking for stock to find upper end of range by late May in the 80.9%-100% range of $22.99-$26.

 
 
  Jeff Bailey   3/15/02,  9:37:22 AM
UBS cutting estimates for Juniper (JNPR), Sonus (SONS), Nortel (NT) and Tellabs (TLAB).

 
 
  Jeff Bailey   3/15/02,  9:34:45 AM
Andrx Group (ADRX) $42.15 ... edging up at $43.60 after it received an order of final judgement in favor of ADRX tht the patent which covers Elan Corp's (NYSE:ELN) Naprelan product is invalid. According to IMS data, Naprelan generated 2001 brand sales of approx. $30 million.

 
 
  Jeff Bailey   3/15/02,  9:31:16 AM
Crude Oil a little weak this morning with April futures (cl02j) down -0.32% at $24.48. OPEC has decided to maintain output cuts with Russia to make its decision next week.

 
 
  Jeff Bailey   3/15/02,  9:27:09 AM
Economic data has Industrial Production coming in at +0.4%, which was better than consensus looking for +0.2%.

Capacity Utilization was slightly better at 74.8% as consensus was looking for 74.3%.

Dow futures now edging green, up 5 points at 10,540. S&P futures still higher, up 1.9 points at 1,157.

Not too much of a reaction to these numbers in the futures market.

Treasuries getting some more selling today and that 10-year YIELD ($TNX.X) rocking higher at 5.439%.

 
 
  Jeff Bailey   3/15/02,  9:22:06 AM
Seasonal plays Stocks to watch with today's consumer confidence numbers in the balance. Oakley Inc. (OO) Link , Harley Davidson (HDI) Link might be a couple of names to look for a spring move into the summer season. "Hogs and sunglasses" may be on consumer's list as summer approaches.

To me, it sure doesn't seem like a new "fiber optic telecom switch" from Lucent (LU) Link is on anyone's wish list.

 
 
  Austin Passamonte   3/15/02,  9:09:10 AM
Great Morning!

It's warm but overcast here just south of Canandaigua Lake here in western NY state. The folks back in Denver wouldn't know how to deal with a lake that's 26 miles long and another beside it that's 30 miles in length. You should see the mud puddles they try to boat & water ski on out there!

At 8:25am, I shorted the Globex on its spike up into economic news and in the black already. Stop set just below entry assures me of no capital loss from here. When the cash market opens I expect to play puts on a break lower confirmation of those bearish triangles we drew in Swing Trade gameplan last night.

Anyone who ever said we must be glued to the screens 365/24/7 is just plain doing this profession wrong. We need to be at our stations the right times but not all the time. Seperation to clear the mind, calm the nerves and adhere to our plans is critical for success. Fresh minds react to what the market offers us best, while those exhausted and cluttered from info overload create one bad trade after another.

But that's just my opinion, I guess I could be wrong!

 
 

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