Wednesday is the 80th anniversary of the 1929 Stock Market crash. It looks like markets are having sympathy pains already. 
UUP and SRS calls worked today so I cashed them in, but ES futures were my cash cow for sure. Surprisingly, the best was on the long side. The markets went back and forth so much today my neck started to hurt.
In between trades I was transfering and installing programs and data onto a new Windows 7 computer….nice, I like it! That replaces the last of my XP computers. Now my office is just made up of Vista and 7….they work nicely together. So while my tech problems are over in my office, I still have issues with my web hosting service…but I think we may be close to a solution.
Tomorrow I’ll still look at re-entering both SRS and UUP, but am not taking any long-term positions…and long-term to me is more than a day. 
Now for some interesting reading. First read An Interview With Bruce Bartlett.
Then read this: Bartlett’s Impudent “Stimulus” Idea. Thought provoking for sure.
See ya tomorrow.
All the plays I was thinking about last night were good: UUP TBT UYG, and I was able to work them in both directions. The markets were really wild as they started to the upside and then came crashing down. It was a trader’s market, but also very tiring.
I think the tech issues have been resolved this evening, Be back tomorrow. G’nite. 
Published on
October 26, 2009,
7:46 am in
Intraday, News, Opinions and Trading.
Tags: dollar, interest rates, News, TBT, UUP, UYG, XLF.
FDIC Friday brought the closing of 7 more banks, bringing the list to 106, the most since 1992 and there is still 2 more months to go through.
Bank failures hit 106 for year; many more are weak
All this goes on while the banks and the government get and make more money.
2009 US economy: largest transfer of wealth to financial/political elite in global history.
I think I’ll be looking at bank and dollar and interest rate ETFs for some action today: TBT UUP UYG XLF. Futures were up overnight but began to weaken as the spotlight turned to European, and now, U.S. markets.
As the dollar went up this morning the markets went down….which was good news for the UUP and SRS calls. I took profits early. Then the market did a turnaround and it ground higher most of the morning and took off in the afternoon. As it moved up late in the session, I picked up UUP and SRS calls again, What the hell, why not?
Even if we continue the up move, we can’t, or is that won’t, go too much farther. Our economy is still losing jobs, as noted in today’s Initial Claims report. I think Friday’s Existing Home Sales report may be a stinker also. If not, then maybe we blow off the top before reversing.
One of the things most notable of late is that the up days have been on lower volume than the down days. That just doesn’t sit right. And even more jobs down the tubes when Chrysler Financial to cease business within 2 years. And even if companies do not close their doors, Top employees leave financial firms ahead of pay cuts.
Oh well, keep watching those charts. 
It was a fairly calm day until all hell broke loose late in the session. Why it happened I can’t tell…some profit taking, some bad earnings, some rumors. Whatever it was, it was a strong down move on increasing volume…like a key reversal day.
I wasn’t sure how to play this, so I got into a mish-mash of options, calls in UUP CAL and SRS. The SRS calls are in the near month, but the others are way out there in March of next year, giving these positions room to develop. SRS is my market short, CAL a pseudo-oil play and UUP the U.S. Dollar play. At the close they were all in the green.
Futures this evening are still to the downside, even though China has a good GDP report. Of course it could be so good that many may find it unbelievable….and that would be a downer. But, I took a long ES position at 1075. I’ll let it run til the morning, unless I can’t sleep.
Thursday is the biggest earnings report day with more companies reporting than on any other single day….MSFT and AMZN will be the big ones after the close. Before the bell we have Initial Claims and then after the open we have Leading Indicators and Housing Price Index. So we’ll see if the markets buck up and give the bulls room to run or make the bears a bit more comfortable.
Be careful out there and happy trading.
