Saturday Rock Blog: Christmas Tears or Shorting Best Buy (BBY) for the holidays

Disclosure: I am short BBY and I have BBY puts.

VIX UPDATE

VIX Retest of 1240-1199 head fake provided support to reverse back through 4 week highs, breaking out and squeezing shorts after the attempted breakdown at 1199.  Taking this 1463-1199 range, gives an upside expansion target of 1674. Pullbacks within 1330-1290 new support.

RISK DISCLOSURE: PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. THE RISK OF LOSS IN TRADING FUTURES AND OPTIONS IS SUBSTANTIAL AND SUCH INVESTING IS NOT SUITABLE FOR ALL INVESTORS.  AN INVESTOR COULD LOSE MORE THAN THE INITIAL INVESTMENT.

Yen Continuation

VIX HEADFAKE

 

VIX broke its trend line from the March lows on Friday, falling below 1240 and hitting 1199.  This quickly recovered on Monday as the VIX traded back above this trend line, creating a headfake. Thus far, this head fake has led to a squeeze back to retesting 2 week resistance at 1400.  Pullbacks down to 1240 now offer new support based off this 1199 low and a weekly close above 1340 is bullish. Earlier this week, SPY Implied Volatility was 10.16% vs Historical Volatility of 11.73%, according to a 30day average from IVolatility.com. 

RISK DISCLOSURE: PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. THE RISK OF LOSS IN TRADING FUTURES AND OPTIONS IS SUBSTANTIAL AND SUCH INVESTING IS NOT SUITABLE FOR ALL INVESTORS.  AN INVESTOR COULD LOSE MORE THAN THE INITIAL INVESTMENT.

Juicy Solar City (SCTY) Reversal

Disclosure: I own SCTY puts.

SP500 / DOW WEEKLY CHARTS

RISK DISCLOSURE: PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. THE RISK OF LOSS IN TRADING FUTURES AND OPTIONS IS SUBSTANTIAL AND SUCH INVESTING IS NOT SUITABLE FOR ALL INVESTORS.  AN INVESTOR COULD LOSE MORE THAN THE INITIAL INVESTMENT.

Saturday Rock Blog: Something About You

The Twitter Top or How the market tanked to celebrate the $25B Twitter IPO

Happy Birthday TWTR!!

Disclosure: I have no position in TWTR, but I wish I had a million shares short from $48 today, holding for $10.

 

Sunday Rock Blog: Take On Me (a-ha)

Saturday Rock Blog: Everybody Wants to Rule the World (Tears for Fears)

Saturday Rock Blog: Alameda, Rose Parade & Miss Misery (Elliot Smith)

On the tenth anniversary of Elliot Smith's death I think its clear that his music stands the test of time. "...and a little more than five years after [his performance at the Oscar's], on October 21, 2003, he would be dead, at age 34. But the heart of Elliott's music still goes on, a decade later." Read more.

In case you missed the memo:

Sign of the times: GOOG and CMG calls up 1,000's% on Friday

Disclosure: I have no position in either GOOG or CMG

Sunday Rock Blog: Frankenstein (financial sector ETF: XLF)

Disclosure: I have no position in XLF, but it looks like an amazing short on this retrace. The upsloping neckline is ~$19.75, but things should really get interesting on a break of $19.27. The target on a break is $17.69.

Broken S&P 500 Rising Wedge

Saturday Rock Blog: Put Your Head on My Shoulder (CVX Top)

Disclosure: I sold my October CVX puts Friday and bought calls for a short term pop. Next week I'll look for good entries on CVX November puts targeting the $104-$108 range. So full disclosure, I own CVX calls.

Definition of a massive market bubble (created by Bernanke) : Stocks surge to new highs after government shuts down

Bernanke is creating the oh so perfect situation for a full scale US economic collapse, gotta love it. Push on the gas peddle until something spectacular happens helicopter Ben! He will go down as the biggest villains in US history, but for now everyone drink the kool-aid and play the game of musical chairs!

When the music will stop? Nobody knows!

Today's fed-induced bizarro world headline

Sunday Rock Blog: One More Chance (IWM breakout hasn't failed yet)

Disclosure: I own IWM puts and TZA stock.