Monday, October 12, 2009

Remember That Convergience Point?

From the Inflection point post last week?

The dark blue line holding resistance now is the top P2 trendline. Red line was the prior high at 1075. I will begin entering shorts when the yellow wedge cracks. I'll have very tight stops if I do.

I do not like shorting going into earnings, but it is OK if you are disciplined, use stops and have a exit plan if it blows up.

As a bear I hate to think of how earnings will be manipulated these next few weeks, BUT just in case someone surprises to the downside I'll have powder dry and be ready to react (either way).

Yes, I said either way.

1 comment:

Keep it civil and respectful to others.