THE LAWS OF GRAVITY...

It's so interesting, this market. It really marches to a very different drummer than many I have lived through and traded through for you guys, or on my own. We have the most important sector, the financials, just completely unraveling. Everytime they seem to have found a base, they get hammered again. Today was one of those days as GS estimates were cut in a big way. Yet, the market didn't really give too much care to it as the rest of the market held up fairly well. It was, however, the first time in a few sessions where oil was down and the market was down as well decently. It's very choppy trading. To say the least. We are now Wednesday in an Options Expiration week. So, we will now start to look at what I call "PIN ACTION". I've talked about this extensively, and I think its very important to now keep track of. From here on out market makers and fund managers will be looking at their positions and the underlying options and seeing where and how to "pin" stocks to certain strike prices to capture both sides of the strike price. I'm putting together a class for this topic shortly, it's more than I can write on tonight, but if you sift through the blog here you'll see several mentions of it. Keep an eye on the indexes for clues as we get closer to Friday. Watch the ES and ER (futures of S & P and Russell) USUALLY they will close at or near or right off of a major milestone. For example, S & P at 1300, or 1275 or 1325. Those are major. Minor, which happens, 1310, 1290, etc. Rusell 750 is key level here. then you're at 740 or 760 or in extremes higher or lower (725 or 775). Tomorrow/Wednesday I am calling an Options trade I really like. If you haven't signed up for Options Trader yet, you might want to consider this a good time to do so. No guarantees but I really like this trade and I will play it myself with my own hard earned cashola! We should get a decent trading day, and I would lean lower, but tough call here so I won't make a strong one. Financials are broken, if I hear one more fund manager say how they are buying financials I will puke. People keep actually buyign FNM and FRE! I mean, I've said it 5000 times, they are both going to ZERO. Yes, ZERO. They have no worth, anyone buying them is beyond insane in my opinion. Take it for what its worth, thats all I ahve to say, see ya in the am! RULE! The laws of gravity mean the financials go DOWN, no matter what.