Tuesday, September 18, 2007

Okay, that cleared it up alright!

I guess we know what the Fed's intentions are now, huh? Thanks to big Ben, my short puts on the SPX turned out super sweet, sealing a second consecutive record month of premium selling profits. Also had a couple nice long trades today. More on the put selling strategy at some point soon; I just haven't taken the time to post how I do it.

It will be interesting to see now if we get some pullback action or if we just head for the moon. I'm going to act like a trader should, and wait for the setups that tell me: High reward, low risk. Every good trader I know (or know of) acts that way, and I'm not going to be the guy that chases an extended market.

I'll probably start posting some ideas soon, as the market now seems to know what direction it wants to go. I will say at this point, however, not every relevant sector index out there is screaming "buy" and I'm not feeling convinced that this is a done deal. We will see, but I'm going to trade the opportunities I can drum up, not just pile into the market on a Fed move. If we get a fake out, or some news that starts causing people to question the strength of the market, remember that A LOT of people bought today and if their positions come under pressure, the selling will come.

More soon.

1 comment:

StockRake said...

I'm glad you didn't get caught in the market crash bearish noise scenario either. Congrats.