10 Rapid Fire Trading Thoughts

1. Trading earnings breakouts has been a highly effective strategy during the 4th quarter thus far.

2. In the financial area, stick with Goldman Sachs and forget the rest.

3. I’ve been holding trades longer than usual over the past few months. This is the best way to play a momentum market.

4. With all the focus on China, do not forget about India. My parent’s homeland isn’t getting much press, but has been a force.

5. Sky is falling perma-bears like Doug Kass have been crying about this rally for quite some time. Eventually they will be right (a broken clock is right twice a day), and let you know when they are. Don’t forget that they entirely missed the boat during this huge bull rally.

6.. The bears are correct in their economic analysis. Things do suck right now. I am worried about this country. But that doesn’t mean squat when it comes to trading. Follow price action and volume, and forget the rest.

7. Be patient with homebuilder shorts. Use strength to add to short positions.

8. Keep playing the momo stocks until their ain’t no momo left.

9. Do not let yourself become a bull or bear. While this bull ride has been fun, be ready to short when the time is right.

10. I will only go back to the dryshippers if they clear their old highs.

Non-trading thought: The New England Patriots will destroy the Colts this weekend. I’m taking the Pats plus the points.

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