6/24/09 Day Trading
Happy hump day everyone! That didn’t sound right. Anyway, the return of the V bottom (the market going straight up after a downtrend forming a V shape on the chart) was an indicator of things to come. The market in fact, gapped up today and continued climbing for most of the morning. There are many rumors going around about the markets being supported artificially and I don’t think these rumors are all unfounded. The great thing about Day Trading is that it doesn’t matter how or why the market is going up or down. Our job is to follow the trend and make money within the rules of our system. Period!
Our trade of the morning: SKF
FOMC minutes due out. Advised our traders to take a long lunch and come back at 2PM. We did call MON short during lunch for those traders that stuck around and it worked well.
The market was slow as expected until the minutes came out and we stayed safe. As always we avoided the initial news reaction then jumped on some very nice shorts in AAPL, OIH, BA, and RIMM. We don’t normally call bounces without a setup so the end of the downtrend was the end of a very nice day.
Back to work tomorrow. Have a great night!
