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The Three Questions


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Posted

In followup to this morning's commentary this is what I ask myself just before I open any position:

 

1) Is this a prudent business decision or is it compulsive gambling?

 

2) What can I learn about the market by doing this?

 

3) What can I learn about myself by doing this?

 

And as time goes by I find more and more I am asking question 3 prior to asking question 2.

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Posted

If Friday's low holds (dow 7843, sp 832, naz 1316), a bounce is still in the cards IMHO.

Posted

Email I just recieved. This matches my work

 

The Dow has dropped solidly today. The Nasdaq is holding strong, cause well it HAS to. An interesting analysis of the QQQ put option open interest shows why. There are 780,000 open put contracts on the QQQ's as of today , 276k March $25 and 500k from March $24 to $21. This is a HUGE number, especially considering the VERY small put position in the area ABOVE $25, The option crooks (put WRITERS) do NOT want the QQQ's to drop or they will be out much $. There is a LOT of time however before this will be a worry but if they fail to hold the Nasdq up and the QQQ (Nasdaq) goes down they will need to short BIG to hedge their positions. We are still targeting a nice drop in the mkt this week into Friday. This next options expiration in March should be up. The stars appear to be aligning for a March rally. We shall see!

Posted

Under what circumstances is trading this market not

compulsive gambling? It's just like a casino, complete

with vigorish for getting in the game, odds stacked against

you and the only way to make money by recognizing a

statistical variance and exploiting it.

 

Hundreds of companies spout thousands of lies with

millions being misled while being billions in debt.

Posted
Under what circumstances is trading this market not

compulsive gambling? It's just like a casino, complete

with vigorish for getting in the game, odds stacked against

you and the only way to make money by recognizing a

statistical variance and exploiting it.

 

Hundreds of companies spout thousands of lies with

millions being misled while being billions in debt.

G-D Dontcha luv it!

Posted
Under what circumstances is trading this market not

compulsive gambling? It's just like a casino, complete

with vigorish for getting in the game, odds stacked against

you and the only way to make money by recognizing a

statistical variance and exploiting it.

 

Would we want it any other way? :D

Posted

three low-risk opps to short this pig. Dec 2, mid-Jan, and last week.

 

I took Mr Marke up on the first two offers :wink2:

 

The train is pulling out of the station...Whoo, hooo.

 

SPX outperforming the NDX to the downside.

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