As usual, the sad Monday jinx played on and the Euro-zone crisis is a mere excuse - there is nothing convincing in today's fall and looks a slightly larger than expected correction - Puts played out well and now a bounce towards 11500 seems on the cards and can even carry higher. Full blown weakness to be confirmed only with a close below 11325 that gives T1 at 11150 levels. Stay hedged and enjoy the power of puts
Prime shorting candidates are Goldman Sachs and Google with a 3 month forward contract via futures or some delta neutral short straddles. Traders with some risk appetite can go long via current month futures and hedge the same with shorts via December series futures
Prime shorting candidates are Goldman Sachs and Google with a 3 month forward contract via futures or some delta neutral short straddles. Traders with some risk appetite can go long via current month futures and hedge the same with shorts via December series futures
Interim Update
ReplyDeleteBears should wait for prices to tick towards 11875 or go below 11450 with volume and momentum. If Buffet could not prevent GS from falling, be assured he cant stop BOA from falling. Remember that he is entitled to perpetual dividend of 0.5 bill greenbacks each year. So you know where the moolah from employee pay cuts went!