The last time we traded CAT it was as a core short and looked like this...
CAT was phased in to a short position in the red square and covered at the low of the white square. That was nearly a +24% gain on a large cap using no leverage, not bad. In any case, I can't say this is going to be a core position, but I've read your emails lately and I see in this chop a lot of you are trading nimbly and well, today we had a member make 30% on IWM puts just off a market update.
CAT has a small base like price pattern, the open gaps are in yellow, but CAT could go on to make a higher high, it's more of a swing trade, but the probabilities are looking good.
The 15 min chart showing the last positive divergence that caused me to close the CAT core short, that was a decent run, now we a similar leading positive divergence on the 15 min chart.
The 10 min is leading positive as well and looks like it's getting ready to go.
The 3 min chart is leading to the upside in a big way.
And now the 1 min is too, when there's a longer term positive like the 15 min in effect and the short term timeframes start rolling around our way, the trade is pretty ripe in most instances. There was a small neg. divergence toward the end of day so I'd look maybe for a mall pullback around the $84.50-$85 area. There may be 10 points in this trade just on a swing.
Is interest rates about to start going up?
-
Yes, I know - it does not make any sense - FED is about to cut
rates...but....real world interest rates are not always what FED wants it
to be.
5 years ago
No comments:
Post a Comment