[I'm Awake]
Dear Member:
Sometimes it's better to keep my money in my pocket (or at least in bearish plays). Each of the major indices is down again as I write this note and I don't see any evidence of an upturn yet. The Dow 30 and the Nasdaq are around a support and the SP-500 is headed toward a support, but overall they are all still bearish. I am extremely wary of entering any bullish plays right now, but I am happy to report that my Waste Management (WMI)is up against the tide and continues along the uptrend line.
When it turns, I'll be there. Meanwhile, I've been making some good trades in the Option Trader where I can play the downside as well as the upside. Recently, I had a 62% gain in 2 weeks on some QQQQ puts, a 41.4% return on risk on a DIA spread in 19 days, and a 19.5% gain in just 2 days on some puts on NDAQ.
I'm convinced that patience is an important part of the equation. I think it's better to wait on the sidelines than put myself in the way of a falling safe.
Have a good evening, and thanks for subscribing.
Bill Kraft
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