Friday, July 24, 2009

I had to keep my money and my mental sanity

I had to cover! My priority goes for equity, I had to keep my money and my mental sanity.
Not easy to digest this one...
I´ve trade short for the last nine weeks, allways respecting the zig-zag price was doing. Shorting on new highs, covering between 11 and 21 ema.
Last week we´ve tracked several time-frames: daily, weekly and monthly. When S&P500 holds 870 I´ve suspected they will manage to test the highs, or even the 968. Definately, 980 was "out of sight"!
They finally closed above some key levels so now I have to wait. I need to see some confirmations of the end of this move...
If they can close positive today i think they´ll still manage to go higher till 990, 1014 or even 1050/70.
The Bears no to clean this mess fast, or they will definately give control to the bulls.
If we watch carefully all the down move since 2007, we can easily argue that two weekly closes above 958 or one monthly close above it will "kill" the previous trend.
Again, the Bears need to do something, and fast...