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Weekly Soundtrack
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Weekly Soundtrack

by The MoleOctober 12, 2008

Here’s our soundtrack for this week – dramatic enough I would say, no matter which way the market swings. Just imagine bulls and bears alike getting screwed by primary dealers who wildly gyrate the markets with all their new margin call cash. You got to respect their nefarious nature 😉

Anyway, Berk is laboring on the new forecast as you’re reading this – please come back soon for a comprehensive review of how to approach the market this week.


About The Author
The Mole
Mole created Evil Speculator amidst the chaos of the financial crisis in early August of 2008. His vision for Evil Speculator is a refuge of reason, hands-on trading knowledge, and inspiration for traders of all ages and stripes. You can follow him and his nefarious schemes at various social media waterholes below.
  • gagelle

    Globex is up big.

  • BigHouse (Aka Mr Vix)

    Yup..i got long calls on the UYG on Friday. I will sell them at the open Monday. Looking for one more dump after this rally.

  • gagelle

    nice move.

  • molecool

    Good strategy – do not wait too long. Only the paranoid survive.

  • BigHouse (Aka Mr Vix)

    Thanks. For the record i bought the Nov 15 calls. at .80 and .90 . Last trade 1.25. I am hoping to get out 1.50-1.75. I am hoping Fridays lows was not the end of wave 3 circle. I would like to see one more dump to say 6500 on the dow. Then go nice and long for wave iv circle. 🙂

  • Ukla the Mokk

    Can someone here please explain to me stuff like QLD, UYG, SSO, TWM, and all that? I know that TWM basically has an inverse relationship to the IWM, and QID has an inverse relationship to the Qs, but is basically double the price. So what is the QLD and all these ultra short ETFs and whatnot? And what is the philosophy behind them? As best I can tell, since they're inverse, they provide another vehicle for us bears who like the extra volatility of puts to keep said puts in the market when things are heading up. Is this correct? What am I missing?

  • Ukla the Mokk

    Yeah, it's gonna be interesting to see how long any such rally lasts. And its gonna be interesting to see just how quickly it turns. It wouldn't shock me if this rally ends up being kinda like when Wile E. Coyote goes up in a balloon, and the balloon shoots way up but then begins to deflate and he just hangs there for a sec before assuming instantaneous velocity downward.

  • BigHouse (Aka Mr Vix)

    “News Flash” CNBC has just came out saying that US will come out with a comprehensive plan on Tuesday. Well i would think you would have to say somthing after UK said what they would do this weekend. Just another good reason to sell into the rally on Monday. I hope for a good rally Monday. Wile E. Coyote is all lathered up tonight lol.

  • BigHouse (Aka Mr Vix)

    Please go to http://www.bearmarketcentral.com

    Look to the left to see all the bear ETF's and Mutual Funds. By the way the UYG is Ultra Long(double) financials .

  • C.C. Rider

    Here is where I reside in $30 calls. Potential for a pop to $40 or $45. I think we could pop thru Tuesday with a target around NDX 1400.

    http://finance.yahoo.com/q/os?s=QLD&m=2008-10-17

  • fuzzygreysocks

    Begin your homework at the folowing site, you will, young padawan:
    http://www.proshares.com/funds?products=98646&f

  • gagelle

    I mostly have to hold overnight, so my particiption in any rally may be limited, unless it lasts for a few days.

  • gagelle

    I don't think you're missing anything–the ultra short go up and down more than the plain ETF's. So as you say–extra volatility. In addition, I've found them to be more expensive with greater spreads. They can be very profitable in a short period of time if you're on the right side of a trade.

  • lisa

    I will short the rally.

  • Ukla the Mokk

    Yeah, just in checking them out I can see that is exactly the case.

  • Insect Overlord

    Yeah, just in checking them out I can see that is exactly the case.