2010

Well its 2010 and 2009 is dead and gone, and I have a new and improved trading plan that I have been working on since last year. I will still be trading Delta neutral option strategies, but with some small changes. Every trade that I set in my personal account this year I will post, kind of like I have been doing, but with additional info on every trade.

As for the market, we started out this week and New Year very bullish right out of the gate, but everything has its pros and cons. The pro is directional trades are performing very well and a lot of credit is due to the big Mutual funds buying on “Mutual Monday’s”. I don’t think that Mutual Monday’s hold a lot of weight with real market strength. In other words, I think big money is propping up the market with new buying for the year. This brings me to the con, the higher we rise without a pull back or correction, the faster we fall and markets participates will panic. This is the trustiest statement, healthy markets need to stay healthy with pull backs and corrections.

Technically I think the $SPX will pull back, price is resting on an overhead up trend line with limited upside until we pull back.