Cold in Las Vegas
Actually it’s quite balmy here – wonderful sunny Las Vegas winter day actually. I arrived in Vegas last night all bright eyed and bushy tailed – ready to kick ass after months of preparation. Ony to wake up this morning with quite a nasty cold – no idea how that happened. Maybe getting three lap dances by that coughing stripper with the D-cups was a bad idea. Anyway, I decided to stay in my hotel room for a day and to just rest it out – hopefully I’m back to normal tomorrow.
As I’m completely useless today I might as well put a quick chart for you poor Mole deprived stainless steel rats. The market is doing its best to instill a sense of hopelessness in anyone crazy enough to even look at a put option chain but behind the scenes there are signs of a looming reversal:
You’ve seen this chart before and it usually has treated us very well – here are the correlations painted on the chart I have available outside my evil den of doom:
As you can see – readings over 230 are ‘eventually’ followed by a retracement but the real magic happens after readings above 240. And especially in irrationally exuberant tape like this you better make sure you have the odds on your side before even thinking to go against the trend. Which has remained to the upside – no matter what anyone thinks it should be doing.
That’s pretty much all I have in me – and not being able to see the 20 screens with various charts deep down in the murky depths of my evil lair it’s all I feel comfortable sharing. But I wanted to put it on your radar – keep checking that ISEE equities only reading. If it pushes above 240 then start looking for some overbought issues then wait a few days. If nothing happens after about 5-6 trading days then cut your losses and always make sure you employ sound capital committment guidelines plus set reasonable stops (not that it helps much in ramp & camp tape like this). And don’t go crazy either – just take out a few positions and see what happens – if you’re bullish then maybe at least hedge yourself until you can be sure it’s a false alarm.
Again, I will be back next Monday – can’t promise I’ll be jumping head in first right away (need to catch up quite a bit) but you’ll definitely feel my presence again 😉
Before I run – I have a little sin to confess: After my announcement of Rammstein I was so busy preparing for Vegas that I simply didn’t have the time to implement the notification module. So – no, nobody (but me) is getting alerts. But have no worries – the testing period will be quite extensive and you’ll all be able to resubscribe for free at least twice if your current one runs out.