Tuesday, July 5, 2016

Jun 5 - More downside ahead or more chop?

Looking at futures, not excited that I closed out half near close and may have made the mistake of overmanaging my position.  I am expecting things to be pretty volatile and in general a difficult swing trading environment for the next 1-2 weeks.  A general warning sign the last few days has been the continuous ramp in gold and Treasuries.

Game plan for next 1-2 wks
1.  Close short position and go long on positive divergence/ buy signal on 1 hr chart with a minimum of 205 SPY
2.  Re-short at 210 SPY

Anything else, will just wait things out as there might be a high possibility of whipsaw.

I am guessing roughly 203 SPY will be a long entry but will wait for the CCI signal to appear, preferably with positive divergence.

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July 21 - Still massively long banks, took short term longs in NVDA, BABA, HAL, OAS

Probably 2/3 of the options account is in banks.  Maybe 1/2 regionals and 1/2 XLF, C, BAC.  Expecting another run up in equities into Augus...