They are now in almost 70% correlation, compared to the index’s. Maybe another five. We are now looking for divergence to happen in finding a bottom going into expiry. This should happen in the next eight trading days. That should translate to about 10,900 on the Dow and 1,100 on Sp on a CLOSE. As usual, looking for this makes us eye the Ndx in particular, and heavy volume on the SPY. There we will establish our position and look for a rally with a possible double bottom.
Any bases should bring sell off to gold and in particlar, silver. These should help in covering the short position on FAZ we have had since last wednesday’s initiation. This is the first weekend I am going to post on the site here, in hope of gathering more of a subscriber base. My trades since last summer in August and ending in April can be seen on stocktwits and twitter under Jesstrade. Since that time trades have only been giving via email to syndicate members.
Commoditiy based trades are being witheld here. I don’t want to get anyone attracted to overbought positions we are currently holding…
