Comments on AheadoftheNews.com: Sept. 26 (Bloomberg) -- Orders for U.S.-made durab...

My favorite vehicle to trade is WAY above its 5 DE...

2007-09-26T12:49:00.000-04:00

My favorite vehicle to trade is WAY above its 5 DEA but its a Brazilian index ETF (EWZ)and the Brazilian Real is kicking the dollars hiney. So it tends to have long periods of not meeting up with the average. I notice the 21 day stochastic on the NYSE composite rolled down through the 80 level almost the same day as Investors Intelligence % bullish/bearish indicator turned down from its extremes in July. Equal warning time....

Ill leave you alone now

Put hedging long cash positions is why you often s...

2007-09-26T12:44:00.000-04:00

Put hedging long cash positions is why you often see so many puts with QQQQ. It usually means most funds are long and they hedge the cash position with QQQQ puts. This is why I do not recommend using QQQQ options as sentiment tool. As for your portfolio, if you own lots of tech, Q puts are getting cheap and you might consider some protection using the November contract.

We often make it much more complex than it needs t...

2007-09-26T12:33:00.000-04:00

We often make it much more complex than it needs to be. Right now, NQ is trading 4% above its 20 dma. Given how far we have come, it's a very high odd short, give or take 10 points.

I have not become educated enough to use puts to h...

2007-09-26T12:30:00.000-04:00

I have not become educated enough to use puts to hedge my portfolio. I see a the great insurance value there and really need to get on board with their use.

We trade in very different timeframes so I do my b...

2007-09-26T12:25:00.000-04:00

We trade in very different timeframes so I do my best to understand your posts and use/learn your wonderful research methods. I daytrade some. Since reading/studying The Master Swing Trader my trade fee totals have sky rocketed. But I have made money so Im not bitchin.
I must agree that it will end as the end always comes and the end is never certain except that it involves pain. In that light we must be in the market to make a return. October looms heavy in your mind I know. I need more factual input to get out. I would love to know the NYSE average P/E right now. They say they dont compile that data. The highly unusual votes of confidence by buyers lately, shown by the several 10:1 up to 23:1 advance/decline days is too bullish to ignore. That coupled with the stimulating cuts of the FOMC fortel a rise in equity prices. Another cut will send the market into a tizzy, as unhealthy as it may be. I heard it referred to as "throwing gas on the fire".
There are some negatives to consider; an understated inflation rate and high P/Es. P/Es above 15 may negate the Feds actions.
Ya gotta pay to play as they say...

Fine. Let them give smart traders more of those pu...

2007-09-26T11:34:00.000-04:00

Fine. Let them give smart traders more of those puts for less. It's going to end in tears for many investors.

It looks like the VIX is hot on the trail of the 2...

2007-09-26T11:22:00.000-04:00

It looks like the VIX is hot on the trail of the 200 DMA as the Bollinger bands get out of the way. Its time to be onboard.