Leeches MIA

UPDATE 10:00am EST: Now, that was a nice little whipsaw to ring in the first candle of the year. If you ask me – anything is better than that dreaded holiday tape. Alright – call to action – I’d like you guys to raise your hands if you’re here. The comment count has gone through the toilet in the past few days. Is everyone just quiet?

UPDATE 10:15am EST: Just to remind you guys – I’m holding June SPY puts and will keep them until we breach 912ish – or until Spring/Summer of course. So, if we rally beyond that my new entry will be 923 – would exit around 930 and re-entry at 957. Again, we just blased through a 94% RL with a very low signal – seems we’re still in ‘holiday mode’. It’s time for the big boys to come back – I miss them 😉

UPDATE 11:45am EST: Damn, the bid/ask spreads on TLT options are insane! I was thinking of grabbing March 100 Puts but I can’t justify these spreads. So, your mission – should you choose to accept it – is to find some related optionable plays where we don’t get raped by those MMs. Go out and sniff out something, you evil hellhounds!!!

UPDATE 12:44pm EST: So, 923 is in close reach now and the percentage on that one is 97%. We got here on nothing but vapor and I’m not sure what to think quite frankly. Very tempted to load up on those June SPY puts again but I don’t plan on jumping right away. Let’s see what happens once/if we get there. I wouldn’t be surprised to see 957 by Monday – unless a seller shows up. Thus far the bears are MIA (just like my leeches).

UPDATE 1:48pm EST: Wow, I have to confess that I’m elated seeing the SPX at 925 – the NDX is busting through a 1248/100% RL right now – crazy tape. As I said we are in uncharted territory at this point and it’s anyone’s guess how high we go. Obviously we still can’t rely on the Zero signal to predict RL turning points as the tape is too thin still.

Of course even this ride will end at some point. Check out those 2hr stochastics, which have rarely let me down. I however thing that 957 is a real possibility, maybe not today but perhaps Monday. Would be very fitting for the big boys to grab the torch and ride things up just a bit higher before taking profits.