Tuesday, January 6, 2009

Quick Trade Update

Today looks like a classic short term failed breakout in DIA this morning. The last trade recommended was SDS, which is currently at a loss, but has not signaled an exit yet. I would use this current opportunity to purchase SDS if not in the trade already. As an alternative trade one could purchase DXD which is similar to SDS but is inverse the Dow performance rather than SDS. The Dow appears to be lagging in this rally.

The short-term model is neutral right now, so an exit would not be anticipated until tomorrow at the earliest.

Pete

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