Trading for the Masses

Remember Two of hearts? I was just thinking . . . Two legs up on the spoos today 1310 to 1320, then pull back to 1313 and up to 1326, that may be two quick hits.

Oil treating us very nicely over the last 30 minutes as it has come under serious pressure and fallen over 4 bucks in the last 30 m inutes. We have taken off half of our position and will look to sell new rallies or new lows and keep the 2nd half of our short crude position in play. Not a bad gain in less than a week as we are now in the money about %5.

Well this market is a tale of two tapes. We had lots of strange news over the weekend about “policing and swat teams” as it relates to financial markets. Why does such talk kind of freak me out. Well watching John Adams makes me think we are greatly diverging from our founding fathers’ ideals and politics, but what do I know. The foreign markets were down off the open in size, but we have rallied so far into the first 30 minutes here. See where they are on the close remember we started getting long on Friday’s close so we will see where they take them today.

Well they just brought out the Gimp on CNBC and he was at a call center taking calls for Hope Now housing iniative. Talk about creepy stuff . . I don’t know why W is at the call center for the foreclosure government bailout center. What the . . . .anyways, the market is trailing off all day and is a channelingstocks.com commercial all day.

So we are almost done with the first quarter of the year and here is a quick overview of the SPX. You can clearly see on this chart that our trend is down and the three rallies we have had have all been induced by the FED and their actions. Each move has been slighter than the last, but the 1250 area keeps holing for now. So watch 1250 and 1400 for the ranges to change. Really nothing else to say at this point, but, it is interesting how the only upside has been driven by FED action and the rallies are not that strong even with all the intervention.

For the 4th straight day we are indeed stuck in 1330-1350 range all week. Oil is coming in however as we are short and happy to see the movement our way here on Friday. I expect little out of equities and the SPX again today, as we are Resevoir Dog like stuck in the middle

Wow, 2 straight day of 1330 to 1350 consolidation. Sell the tops and buy the bottoms until break that range you must respect it for what it is. Hope all are enjoying the day as it is the birthday of my oldest son today, so the entire family is going to go out and do some swimming together for a little party and then enjoy the prerequisite cake and ice cream.

Party on