Charles Kirk does a good job of pointing out the developing double top in the S&P 500. While it’s important to watch developing patterns, it’s dangerous to make predictions before the pattern fully reveals itself. When everybody is looking at the same thing, patterns have a tendency to do the opposite of what is expected.
Ugly has been on fire, posting over a 100% gain over the past two months.
The Trading Radar for next week, courtesy of Minyanville. I’ll be paying attention to the energy sector. I’m waiting for a pullback so I can get into a few of my favorites, like NOV, OII and CAM.
Index overview from Afraid to Trade. We’ve got to pullback at some point. If we keep moving higher, I’m going to have a tough time finding attractive entries.
I avoid market related shows like the plague. The worst thing that can happen as a trader is to have your trading effected by the garbage that comes from CNBC. That being said, the one show I do tune in to from time to time is Fast Money, a show that features actual traders. It’s moving from 7 pm to 5 pm in a move that may be good for many traders, but not for me. I get home at 5:30! Thank goodness for DVR.
10 Trading Commandments. Number 10 is crucial: Don’t let your bad trades turn into investments. Others will say “cut your losses early.” My recent NILE trade is an example of respecting this rule. I still like the stock, but got out once my stop was hit.
I’ve missed the China trade, even with many Chinese stocks in my Focus List. Is it too late to join the party?
I sampled a few new shows this week. I thought Bionic Woman was great, despite the negative reviews I had read. Big Bang Theory was hilarious, and Chuck was A level entertainment, featuring comedy, action and good acting.
The only returning show I’ve watched is Heroes. The season opener was good, but not great. The new character introduced in this episode, Maya, was intriguing. I was hoping for more about the Company and Peter’s “amnesia”. As usual, Hiro’s antics were the best part of the show.
CNNSI’s list of the 10 most clutch quarterback’s of all-time. I have no idea how Troy Aikman made it on the list, and Brett Favre did not.
The idiot’s guide to the Isiah Thomas trial. How does this guy still have a job as a GM? I could understand if he was as good of a GM as his former teammate, Joe Dumars. But a guy who has single handedly run a franchise into the ground does not deserve this long of a leash.
Kelly Pavlik knocked out Jermaine Taylor to become middleweight champion. This one might go down as fight of the year. Pavlik showed great heart in getting back up off the canvas after getting brutally beaten by Taylor, and then knocking Taylor out in the seventh.