Jun 142010

O.K. I’m officially bored. The market is just grinding away on reasonably light volume and nothing other than scalps is setting up right. The main problem is the tight range between the OH and 93ish rejection areas. Even if you get in and make a good bet there is no meat on the bone. We don’t generally fade the first push into a new high but the way it was behaving we liked that today with respect to the OH when it broke and stalled. It never really got going and the safe play was to just bail with a few ticks. A longer term trade management objective could still be in but there just isn’t much edge on that bet. We are content to just call it quits in these conditions and I can’t complain really. As long as there is even a little something that can be extracted from a trade I’m happy. For those hanging around I bet we do get a move toward a gap fill with this much overhead resistance and I reiterate that you best be on your toes everywhere from about 89 all the way to 83. Where it turns is tough to call and you may be smart just to sit it out. I know I would most likely do so if I were staying around. I would rather wait that out and then fade 93 short on a move back up after a gap fill or fade 81 long after a break of the OL. But then what do I know? lol…

 Posted by at 10:46 am

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