Well the major indices were looking poised again for another breakout but this morning we’re down. Fortunately for us breakout traders, no breakout means no losses.
S&P OVI
I have to say the cup and handle we’ve seen on the S&P wasn’t greatly convincing. We’re at the tail end of earnings season now, so I’m not expecting too many surprises, and the holidays are now in full swing. The C&H never broke out so no losses there.
Dow OVI
The Dow is forming a Bull Flag above prior resistance, but without the Nasdaq or S&P in support with their OVIs I’d tread carefully with the Dow.
Nasdaq OVI
What makes me suspicious of any prolonged upturn possibilities here is the reluctance of the OVI to participate, especially in the Nasdaq, the most professionally traded market.
GS OVI
GS is forming another nice consolidation and it’s a bit of a shame I was stopped out last week, albeit with a decent profit.
But trade management is a real art. If we hadn’t managed the trade properly with our GLD trade from 2 weeks ago, it could have got nasty. Instead, by managing it correctly, it was a profitable trade.
GLD Chart
A couple of emails coming your way later today. One will show you how you should outperform fund managers every time, and another is for inexperienced traders.
Also, just to let you know that we will be reopening the Private Trader’s Club for new members for a limited time and for limited numbers in the next 6-8 weeks. The entire area is being revamped with extra tools being deployed, plus new videos and a new look.
All the best
Guy
To learn more and have access to the OVI visit my Private Traders Club area.
