Hey all,
Today's trade is about being short through the Jewish holiday. For the coming week I shall be looking for ways to make money on the short side of the market as the Jewish holiday forbids orthodox Jews from playing in the market through their high holy days. Regardless of your religious bent, one must respect the fact that a good portion of the market will simply not be playing the game and as a result a good portion of the demand side of any stock equation shall be skewed to the bearish side during this period.
Having said that, we also have a bearish tone continuing to dominate the global landscape (ie European debt.) and shall do so until this whole issue comes to some serious conclusion. Historically, that is usually coupled with some dramatic price action in the market - so the 'correction' in the market shall continue still.
Today I traded the Nasdaq 100 ETF short and here is the entry chart with notes
What is most interesting here is that while I was writing the entry blog, my target ($51.75) was hit. I have exited the trade at $1.42 for a quick $.14 profit. On $1.275 that equates to just under 11% gross profit. Not bad for 20 minutes of risk exposure...
here then is the exit chart with notes
I may be back in on the short side soon, but that will be that trade...
That's all for this post,
Brian Beamish FCSI
the_rational_investor@yahoo.com
All appropriate disclaimers apply, DO NOT risk capital in options trading that you cannot afford to lose.
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