Cool

Today when I watched the Dow shot up 100 points early again, my heart was sinking. Why I always added the puts in front of another rally? I really wanted to sell to cut loss. But then I told myself to wait and see. It turned out to be a great decision.

1. By 10:30 MST, the market was almost flat, erased all the gains due to "great" economic news.
2. And the ISEE number told me people were expecting a great rally. So I added IWM puts again. Too bad I was still recovering from the shock early, I didn't add ultra short ETF at the same time.
3. Then the market dropped, like I expected. And before close I sold all most IWM puts I added the last three days for a good profit.
4. Of course, the ones I added today gave me the best profits, and the ones I added two days ago were pretty much even.
5. Sometimes, you can just do it daily to reduce risk and increase profit at the same time.
6. And I watched the market rallied back at the close. Since today's action again is good sign for bears, I added MZZ before the market close.
7. That's what a cool head can do to you. I need to be more like this in the future.
8. My actions to sell most of the QQQQ puts early on 6/26/07 was a great decision, today's decison to hold and then add IWM puts was another great decision. If I can keep up like this, I can make a little money out of this market.
9. It's good to be on the right side.

Market:

1. I think the market shifts to the bear side, if we had news like this a month ago, we'll have triple digits gain for sure.
2. We had iPhone debut, RIMM blowout number, "great" spending number, etc. And all the market did was to give up 100 points, went down 100 points and then closed down 14 points?
3. I don't expect it go straight down from here, but I feel like it tests at least 1460 in S&P 500, if not lower.
4. Now S&P twice broke 50MA intraday and could not hold, and closed below 50MA. The more it spent time under 50MA, the more stronger the resistance is.