The short-term model for the S&P 500 has become overbought today. I'll admit a little hesitation on recommending a trade at this juncture, but the overbought signal at a lower high than the prior signal is one thing I look for in recommending an inverse ETF trade. I feel the downside risk to a disappointment in the "bailout" situation is more substantial than the upside potential for any agreement. But that is a wild card that is giving me hesitation right now, in addition to the fact that I believe we are very close to an intermediate term market bottom, or may have seen one already.
Nevertheless..........
Recommendation:
Buy SDS today before the close. The current price is 66.66 (a bad omen....or is that good in this case.....), and that is the price I will use to track this trade.
Pete
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