PeakTrader.com

[arthur]

Aug 11th Trading Log (Recap and Thu Trading Plan):

I bought SMH calls on dips, since they fell sharply, sold some SMH calls on a bounce, sold the MRK and AMGN calls (since they went up), and bought DIA puts on bounces. SMH opened below it's lower downtrend line (see chart on page three of StockCharts site) and created a gap. So, when the market rallied this afternoon, I bought DIA puts. However, TICK TRINs and CBOE Put/Call are all short-term bullish. Perhaps, the market will bounce tomorrow. Nasdaq fell only six points above the 61.8% Fibonacci level (see chart at top of page two on StockCharts site). Fibonacci levels tend to work better for Nasdaq than the other major indices. The Dow may rally to its upper downtrend line (see second chart on StockCharts). However, the Dow has to clear major resistance at about 10,000. Inventories, Retail Sales, Unemployment Claims, and Export & Import prices will all be reported before the market open tomorrow.

My portfolio is over $880,000 including over $645,000 in cash.

Calls Contracts

QQQ Dec 34 2004 100
SMH Nov 32.5 2004 200
SMH Jan 30 2005 200
SMH Jan 32.5 2005 200
SMH Jan 35 2005 300
SNDK Aug 20 2004 20
ABX Jan 17.5 2005 50

Puts Contracts

DIA Sep 100 100
DIA Sep 102 50
DIA Oct 98 100

Portfolio at $500,000 on Jul 1st, 2003