I'm not sure if this is just a bear market rally and soon enough reality will kick in and we'll see the F back down at the low 3000s, but I bought a put spread-3700/3650 for 12 today. That makes me massively delta negative, so I need a few hundred points south now. What does the chart say? Massive overhead resistance and just because 4000 is the obvious big hurdle doesn't mean it'll be an exact trigger for a decline, but decline I reason there will be- stochastic and William%R overbought, and the trusty 62 Ema is about where we are now-3950 0dd.
Expect some shocking news soon, and I do hope it is only of a financial nature as the terrorists seem to be rampant in Pakistan Afghanistan and Iraq.
Monday 23 March 2009
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