GOOG… take your money and run. (i did)
The ‘easy money’ was made. If holding on to the trade, you run the risk of the negative/positive catalyst via the FED. And if its negative you will find yourself writing a negative article as to why Technical Analysis does not work, just like Felix Salmon. 
I had 2 July 530 Calls. I unloaded one. Waiting to see how the market reacts to the oil inventory report for the other.
Will most likely unload the 2nd when GOOG is in the low 550s.
GOOG is oversold and sitting on its post earning’s jump support. The July 530 calls seem interesting.
Now… this trade takes some balls. Usually this trade would be straight forward, but because of the negative environment the market is in, the market may drag it below its support. The market is oversold and obviously negative, but some indicators are telling me the markets may bounce off this oversold position (in the interim). But we have a catalyst, via the Fed, that can push the market lower or higher. Basically its a high risk tolerance trade.
If the pop is seen, 558 is the easy money move. Hence, cover the calls.
The Press Release regarding the Entech Panel update pretty much sums up why WWAT.OB has been dead money for the past 8 months. Basically they will not have their patented high efficiency CPV panels for shipment until the first half of 2009. Worst case scenario that is a YEAR away.
I am in WWAT.OB because of the Entech Panels. Their Mobile MaxPure product seems promising, but management can not seem to market it properly. So I have completely discounted it from their product portfolio. Pretty much leaving WWAT.OB as a solar start up that needs to get their newest factory prototypes out the door.
The stock price should remain stagnant until factory prototype panels can show the solar world (and the many analysts on the Conference Call) what they can do. If they impress, Wall Street will take notice, and the stock should rally. If they can not, well, that is when I sell.
I keep thinking about the Fed meeting and what the minutes will say. The minutes will have to speak to a more tough stance toward inflation, and they will either lie and say the underlining economy is moving well or blame the recent flooding in the mid-west for economic softness.
Either way, rates will have to go up as inflation is too out of control, while the economy is soft. A reaction to this anticipation will be a weaker market (generally speaking), stronger dollar and lower commodity prices.
The more I keep thinking about the current economic situation, the more I like the short trade on the USO. (Even Globally… India is now faced with 11% inflation. China will see a huge inflation jump because they removed the subsidies on gas. China just put an 18% tax on their consumers. Anyone that does not think the price hike will not have an impact is simply kidding themselves.) Global inflation can no longer be ignored. Rates globally will have to rise somewhat or continue being innovative in how they handle inflation (like china’s gas hike). If not, the central banks are being careless.
(I would say to short the SPY, but it is really oversold and I do not like shorting when something is too oversold despite my approx. 1280 price target. We should see some intermediate, techincal, bounces coming soon in the market.)
The SP500 is seemingly oversold, and sitting on support, which suggests to start going long.
However, there is an obvious negativity, indicated here by the DMI, which leaves room for more downside. What gives me more pause about this market is the Transportation index chart.
The chart seems exhausted to the upside, and seems to want to go down or at least consolidate. If transports are about to enter a negative trend, then the economy is weak, giving reason for the market to go down more. If this is the case, eventually hitting 1280 on the SP500 can not ruled out.
A catalyst to move the market higher could, and most likely will be, Crude coming down.
1. Best form of comedy is when you can make fun of your community’s stereotype. Thought this was an interesting menu for a restaurant.
2. Getting the French to work… (do they know what the ‘w’ word means … that was just a JOKE. lol)
3. Never Call an American Greedy… not when indiviuals are giving some $300B (yes Billion) to charities.
The one USO Oct 113 put traded on friday is me. lol May add (2 contracts) if the USO rises to mid 112, and/or cover if 103-104 is seen.
(i don’t play heavy when i know i don’t trade something too well, but can’t pass up a trade when i see it)
Everytime I read articles questioning the iPhone Apps, I just laugh now. I firmly stand by the iPhone Apps. I was lucky enough to see what the current iPhone can do, without Apple’s approval stamped on it, and if the apps (via iTunes) will be the same or better, the masses that are exposed to them will fall in love.
Let me repeat, these apps are sick. The iPhone as it stands is a joke compare to what it is truly capable of. The Apps will be huge, any reporter saying other-wise has not seen the full capablility of the Apps.
I know what I am good at, and what I am not. Oil trading… I simply suck at. In Pre-Market the USO is up to 109. I still think the China news will have an impact, traders just need to be proven so. Hence the market will not anticipate it, as being shown this morning.
I am readjusting the trade. Taking longer-term, and higher puts… 113 Oct Puts. Will take the initial position at 110, then again around 112. (Just playing for a pull back at those levels, not a long-term negative trend to develop.)
