All this watching and waiting is getting tedious!
At least, as I said to members at the close, it was another consolidation day and this one felt a little better, mainly because the "right" companies (commodities) went down as oil dropped over 3% on the day, finally finishing below our $132.50 target. This drop is just about the 5% rule so we covered our USO puts to pick up the premium and Monday we'll be hoping the downtrend continues.
We had some fun day trading for the first time all week and did very well with our Apple trades as we were in and out several times during the session. PCX finally came down dramatically after we had to very painfully roll up to chase it several times. BA took off for us and luckily we ditched our callers for a small profit early in the day.
Let's take a look at the Big Chart and see what kind of damage has been done in a week:
|
|
|
Week’s |
25% |
20% |
Feeling |
200 |
|
Index |
Current |
Move |
Terror |
Horror |
Better |
DMA |
| Dow | 12,063 | -78 | 10,644 | 11,354 | 11,808 | 12,920 |
| Transports | 2,622 | 142 | 2,336 | 2,491 | 2,591 | 2,699 |
| S&P | 1,342 | 3 | 1,182 | 1,261 | 1,311 | 1,418 |
| NYSE | 8,988 | 41 | 7,790 | 8,310 | 8,642 | 9,433 |
| Nasdaq | 2,462 | 58 | 2,146 | 2,289 | 2,380 | 2,508 |
| SOX | 394 | 11 | 419 | 447 | 465 | 406 |
| Russell | 737 | 18 | 642 | 684 | 712 | 743 |
| Hang Seng | 22,797 | -226 | 24,000 | 25,600 | 26,624 | 25,641 |
| Nikkei | 14,130 | 242 | 13,725 | 14,640 | 15,226 | 14,636 |
| BSE (India) | 15,087 | -163 | 15,900 | 16,960 | 17,638 | 17,631 |
| DAX | 6,721 | 7 | 6,088 | 6,494 | 6,753 | 7,271 |
| CAC 40 | 4,591 | -81 | 4,626 | 4,934 | 5,132 | 5,203 |
| FTSE | 5,708 | -82 | 5,066 | 5,403 | 5,619 | 6,148 |
Well, that's pretty surprising! In the US Markets, ONLY the Dow is negative over the past 7 days and Asia didn't really fall all that much while Europe lost the most ground overall. The Transports actually picked up 2 green boxes and the Russell fell below the 200 DMA but those were the only changes for the week.
The DAX fell out of our "Feeling Better" zone and we are in "25% Terror" alert on the CAC but the rest of our indices continue to drift within their bands, on the whole hanging tough. We may be in for a bit more consolidation but, as long as oil stays under control, I'm not too upset about what I see.
