Tuesday, February 26, 2013

SPX - Final countdown

SPX about to make a rise. Since it could be final wave 5 before trend reversal we can see diagonal triangle that will unfold in three's


Wednesday, February 20, 2013

SPX - wave 4 in progress

Wave 4 in progress. High chance to see triangle. If it comes out - signal for larger degree trend reversal.


Hight confidence that current downside impulse is just a correction because of 3 vs 1 ratio is ~100% as wave 3 is never the shortest one.

Friday, February 15, 2013

Zynga still plays

Zynga is much like Netflix here. At least 3 three-four's ahead of us.


Facebook - last race before correction

Facebook going to climb wave 5 now. Not sure if wave 4 already finished but time-price balance looks fine to me. Even if no impulse follows wave 4 we must have some pull back (wave 2 in alternative scenario or wave X).

Trading strategy:  Buying near vertical spreads

SPX - tethering on the brink of collapse

The end is near. SPX probably going into last wave 4 before global trend reversal.

Main strategy: Out of the market.

Volatility is so low (9%) so you can't get any reasonable premium. Corrections and weak wave 5 ahead. Nothing to do here.

Netflix - extension paradise

Netflix gone wild. I counted 5 one-twos. Expect three-four 5 times soon, not less.


Main strategy: Premium selling.

There will be only wave 4s and 5s from here - price will be range bound for some time.

Every time NFLX bounces up from support line (wave 4 range of the first complete impulse) you must be selling  put verticals.

Selling 4 times on weeklies is better than selling 1 monthly spread because Theta is bigger on weeklies and you can grab more premium faster.