Timing Market Turns - 12/19/2005

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W.B. Busin

It is a wonderful life. Blessed to be in America. Loves- God, family, research, markets and business. More at: - - - Elite Trader's Journal

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Market Timing – 12/19/2005

Timing Market Turns -
For Investments. Option Trading and Futures Trading

The text below and time loci points were posted in real time today at W. B. Busin's Trading Journal at Elite Trader

Market Timing – 12/19/2005

Timing Market Turns

We are still 100% long in the Dow and its derivatives.
We are still 100% long in the S&P 500 and its derivatives.
We are still 100% long in the NASDAQ 100 and its derivatives.

Quote from 12/15:
"These are unhedged positions. The outlook is a 3 to 6 month time horizon, IF new highs are made and confirmed in the 3 cash indexes mentioned quite soon. Otherwise the position will revert to a trading position."

Overbought? - Maybe!

We are not getting the price and volume structure we expected. although the volume acceleration looked promising on Friday's open.

We took the long positions in spite of extreme bearish indicators in sentiment indicators. For example, the raw 1-day total puts to calls were at levels not seen since the first 2 quarters of 2000. This contrary indication was juxtapposed to the expected volume acceleration, which did come forth.

The indexes will struggle over the next week with volatility rising rapidly, giveing traders many opportunities in both upward and downward moves.

Time Loci - 5 minute

0940
0945
1013-1015
1020
1040
1051
1103

1155

1225

more to come

Good Trading and God bless

Merry Christmas and Happy Hanukkah

W. B. Busin

edit: at 1003
I apologize for not entering the 1000 turn. It was there but in haste, I didn't notice that I had not entered it.