Set Up For Puts?

  • January 19, 2001
  • Dave Landry

Biotech
(
$BTK.X |
Quote |
Chart |
News |
PowerRating) rallied earlier in the day (a) but
reversed to close poorly. This suggests that its downtrend remains intact. Continue to look
for buying opportunities in puts and put spreads here.

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Major drugs
(
$DRG.X |
Quote |
Chart |
News |
PowerRating)
look poised to resume their meltdown out of a low-level consolidation. Look for
buying opportunities in puts and put spreads here.

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Insurance
(
$IUX.X |
Quote |
Chart |
News |
PowerRating)
appears to be resuming its meltdown. Look for buying opportunities in puts and
put spreads here.

For you OEX traders, the VIX remains at relatively
low levels.  Continue to watch for buying opportunities in puts and put spreads on any
signs of a price reversal.

Best of
luck with your trading on Monday!

P.S. Reminder:
Protective stops on every trade!

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