I completed a short on ENER today. It was almost like a costanza on my constanza on my costanza. Anyway, the setup was there so I took it.
1) Lots of overhead resistance between 58.58 – 58.78. A stop at 59.10 was natural
2) Saw the huge spike DOWN on the Vix just before Obama’s speech = Dow moves to +240. Nonsense!
Here’s the chart, using Jing’s screencapture program (junk drawing tools, but easy to send to blogs)
38.16 got tested over and over, bouncing off low volume in anticipation of Obama’s speech. Nonsense! Short this. Right now ENER is still falling so I’m kind of bummed at that false-cover signal when volume hit 21.4K on the red candle.
Anyway, I’ve come to the conclusion that the probabilities of shorting Obama’s speeches is good for a good 30 minute day trade, especially during this lame duck period. Buy the rumor, sell the news.
What a day! Not only was I able to be one of the few to go into Friday bullish (majority out there were very bearish after a -400 point drop in Dow and the unemployment numbers today), but I was also able to use the constanza on the costanza to short ENER as the market spiked up over 200 points. So confusing! Well, all I can say for now is that the market will move up or down on Monday. Lol.
Aloha!
-gio-
Might want to change that to Fade Obama’s Speeches. Fading his lips sounds kinda racist.
never thought of it that way. i was going for the Bush thing. anyway, changed it!
Gio:
When you looked at ebay for a swing long were you thinking it could make another spike as it did during the first hour on Monday or by the end of today?
I ask because many of techs made this same spike and then drifted to flat on the day so, are thinking we’ll see follow through Monday morning.
swing long on the medium to long term. its a tough play, but I wouldn’t mind positioning into it here for a first entry.
btw, i hate ebay right now… i keep getting overbid in the last 3 seconds. I’m just gonna bid $1,000 on the stupid nano already.