Wednesday, August 16, 2006

Trampled by the Bulls

Ok, perhaps it's time to finally stop being bearish about the markets. I'm getting run over as I scramble to cover my shorts. The play on XING ripped me a new one today, but I've got a stop set at the last high of $11.57. Too late, I realize I should have set a stop at the new rule of 2%, based on Dr. Alexander Elder's rule for risk control.

While trying to figure out which way it's gonna go tomorrow, I've got a few long candidates, and even a couple of new shorts to watch. This rally is really burning energy at a breakneck pace, so I'm curious what kind of breather it'll take. The build was so strong today that I suspect the S&P 500 will definitely be up again tomorrow. The price and volume look kinda like last year, March 13-20, which went a slightly down, flat, and recovered again. Is the end in sight?

No one ever said anything about the 'blood in the streets' to explain this rally. And where are those people who think we'll have another big drop in the next month or two? Heck, I predicted this rebound was emminent, but I'm still not quick enough to actually recognize it in time. But, yesterday marked the first day I begin printing the charts of my trades upon entry and exit along with notes. Here's to finally showing some improvement!

Think Thursday will be an upday or not?

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