Thursday, February 19, 2009

Trading Videos from the Money Show

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Bear Potato Day 7 - "I think I ate too much!"
3M, Daily - Feb. 19 - The longer term chart continues to show a Bear Potato with even more downward movement (Gold Spot).  This is the Seventh Day of the Bear.  It is overextended (oversold) but there is very little in the economic or political news to support a move to the upside except for the market being "oversold."
5D, 30m. - Feb. 19 - It looks like a continued sideways day but in reality it was a trending day to the downside just dragged out over several days.   Today was weaker than Tuesday & Wednesday.  There was a "Gap Up" to start but the bulls could not support it.  The rest of the day was trending lower with periodic retracements.
10D, Hourly - Feb. 19 - "Bear Potato Day 7."  In the seventh day we have a 7 pt. swing meaning that if you bought into the Potato on day one, you would have had a 7 point change in the SPY.  4 Puts on the SPY at .50 Delta could have yielded a profit of $1400.  There are a lot of shouda/coudas in that equation but dreams are dreams.
2D, 15m. - The usual picture shown is a 5 minute chart.  Of interest today is that the 15m. chart demonstrates the "double bottoms" and "double tops" that can be so helpful in recognizing "reversals."  These seem most evident on 10 & 15 minute time frames.