Wednesday, January 6, 2016

Jan 6 - Equities barely hangin' on

Today was a strange day.  VIX dropped from the open a decent amount despite equities barely making an intraday comeback.  Either the market is overly complacent or a short squeeze is lurking around the corner.  That aside, we closed below consolidation which opens the door to a big decline.

I went back and forth a lot at end of day deciding whether to go short.  The low volume settle in the lower BB is threatening short squeeze but we have slipped below major support.  I only have a core short position that I will let bounce if it happens as the retest of lows targets gives me at least 1:3 risk to reward

Levels of resistance which should be strong
 DIA has entered the no man's land where it could drop fast unless we get a bounce soon
 QQQ the same scenario
 I hate gold.  I took two stabs at this and gave up on it last week and now it is finally taking off.  I keep trimming down my position size and widen stops to allow the position to mature but my impatience got the best of me.

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May 15 - Closed out IWM puts for +120% and picked up DAL and HD Jun calls

I'm going to let the market do its thing this week and probably stay away from new positions until Friday unless something very good pop...