Courtesy of David at All About Trends
Our call options we bought at 23.15 are now 47.00 for a gain of 103%! — watch the green trend channel resitance level.
Over the weekend, we said "Three days of consolidating at the highs. A few more days of consolidation then a bust higher is what we want to see if indeed it is going to go higher. Should that occur? Then we definitely will lock in our gains on the call option.
The flip side is if it pulls back in here. Then we’ll let the stock tell us what to do by the action it exhibits, much like we saw last week in the leaders vs. the indexes.
Regarding the $SPX, we wrote:
"HOWEVER more often than not, much like the wave 2 pullback in August we could still stage an ABC 3 legs down to complete the pattern for the completion of wave 4
If this wave 4 is not done and it traces out an ABC down pattern just like wave 2 in August then we we need to complete the c wave down as we have what looks to be waves A and B completed.
If wave four is NOT done then it’s just a little bit more minor turbulence work to do to the downside"
Below is the super short term 1 minute zoomed in chart of the SPX.
For now? Support looks to be holding, we’ll find out in the magic into the close hour.
We also said over the weekend:
"We’ll just stick to our knitting around here and pay attention to what our stocks are actually doing and what the follow the leaders type names are doing also."
So let’s do that below by looking at how our holdings are faring today.
SHORT SELL TRADES TO FOCUS ON THIS WEEK
NONE
Talk to us at the end of the year AFTER they’ve sucked in the retail investor (think greater fool theory) in a big way out of fear of missing it AFTER they already missed it.
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