“I got 99 problems but the market ain’t one”…
Man, what a week.
We wanted to do today’s update a little early because of the current market environment and also because we wanted to take the rest of the day off. The market is showing a little resilience today but we are right in the zones we had outlined in the Weekly Wrap.
The Dow is currently trading at 10,290, down 41, and right near the 10,300-10,400 short-term target we were expecting. We would like to see a close above 10,300. The S&P 500 is the bigger battle where 1,100 remains the line in the sand. The index is currently at 1,088, down 6, and we are hoping for a close ABOVE 1,100. This would help us “relax” this weekend but if we can’t do 1,100…watch 1,070.
The tug-of-war between the bulls and bears could pick up before the closing bell and we have a couple of trades open that we wanted to update.
We had a good week as far as taking profits and limiting losses and that is all you can ask for. Especially with it being option expiration week…Remember, November options expire TODAY so make sure you close any options you may have open.
We still think the underlying tone is bullish but the bears are trying to make some noise. Watch the aforementioned support levels we mentioned earlier. We have an important update on Microsoft (MSFT, $29.60, down $0.17). The stock has held up well but we are adjusting the trade. Current subscribers, please check the Members Area for the update!
Special Notice: We are encouraging all of our “charter members” to upgrade their subscription memberships to at least a 3-month or 6-month membership. As you know, we are limiting the number of subscribers we are allowing because we do not want our trades crowded and we want to stay under Wall Street’s radar. Word is getting out about our results and we should be full sometime by early 2010. We wanted to ensure that you have your memberships locked in before we are capped. Once we are full, there will be a waiting list. Maybe it was the massive 450%+ Priceline.com (PCLN, $209.47, up $1.83) trade we recently closed for our portfolio that has our phones ringing off the hook…