Why I am long Dow-Minis and short oil
Today was the first day of school for my eldest son. Much trepidation
and preparation went into having him take first steps away from home and through
the doors of school. He was quite nervous, but I know by the end of the day, he
will be excited about going back tomorrow. This process reminded me
of trading a new market for the first time, either a stock trader trying the
index/commodity futures or an index/commodity trader working his first option
strategy. Much trepidation and preparation goes into the new market.
One is generally nervous before executing the first trade in the new market due
to fear of the unknown. However, once that trade is entered and exited according
to plan, profitable or not, the fear will dissipate allowing the trader to get
into the groove and enjoying working in that particular new market.
The key is taking Nike’s slogan of “Just Do It” and changing it to
“Just Be It” when merging your abilities to a new market. With this
said, here’s today’s strategy!
DJIA
Oh yeah! Our system nailed a very nice up wave in the Dow
yesterday. The index did not break the upper channel line within the first
three minutes, rendering the gap rule mute. The upper line was broken within the
next 3 minute time block triggering the long entry in perfect fashion. I
am holding longs into the open today. It appears that there will be some
selling at the open. I am following the profits with very wide trailing
stops. Long/profitable
OIL
What a day yesterday! Our shorts finally turned profitable. I am
holding here, expecting additional downside. Short/profitable
US DOLLAR
I am still holding the EUR/USD pair long. The chart patterns in
evidence must be driving the TA analysts insane with wild swings within the
range. I may be stopped out today, then again, maybe not. This pair
is extremely difficult to call here. Long/profitable
EQUITIES
(
SGR |
Quote |
Chart |
News |
PowerRating)
The first on our list of Katrina recovery plays. Our go long
figure of 22.03 was just missed yesterday with a high of 22. I am flat and
waiting entry signal. Flat/long bias
(
SVM |
Quote |
Chart |
News |
PowerRating)
Service Master continued to flat line yesterday. I am still
expecting a nice pop up with this one soon. Awaiting breakage of 13.77 to enter
longs. Flat/long bias
(
GOOG |
Quote |
Chart |
News |
PowerRating) Dropped a little yesterday, however, still far above the go
short level of 283. Flat/short bias
(
EBAY |
Quote |
Chart |
News |
PowerRating) Gave back some profits yesterday, however I am still holding
short. Short/profitable
(
CPV |
Quote |
Chart |
News |
PowerRating)
Yeah! This one finally broke the resistance at 30 yesterday. I
was almost ready to close this one out. Patience is often the key to swing
trading as CPV proved yesterday. Long/profitable
(
BHP |
Quote |
Chart |
News |
PowerRating) Closed this one out with small profits yesterday.
Flat /
removing from list
Best wishes in the market!
Dave G
David S. Goodboy (marketsurfer) has been
trading professionally for over 14 years. Mr. Goodboy trades ETF’s, stocks,
index futures, energy futures and options. His primary focus is a unique
multi-time frame index trading system based on a combination of time/price
cyclical studies and statistical models. David was a trader/partner with
Biltmore Capital, traded with an option arbitrage firm, and is currently in the
launch stages of IntrendX, a global multi-strategy fund.