USO didn't show much strength today. It definitely didn't affect the markets as much as usual. Maybe the next leg up in oil will be caused by a down leg in the markets instead of the other way around. No better place for traders to run than oil for a long play. the pause day today is a good setup for a huge rise in oil tomorrow.
XLF definitely was the leading loser today. great to see this as it made much sense technically as it was the one sector that benefited the most from the strong rally in the markets these past few days.
Game Plan: I sold off all of my longs during the first hour of trading. If i was able to wake up earlier, i would have sold at the open. The prices i got were fairly good though...was atleast before the huge fall in the market with DJIA breaking 150 down later in the day and never looked back. I am bearish now and looking to take a dip to the short side tomorrow (buying at most 1 short in the morning and 2 positions by the end of the day) on any intraday pullback. I will ease myself into these short positions as volume today was not heavy and we need one more down day to have a great confirmation. I still like the same stocks i mentioned yesterday with an addition of a few more. I'm happy to see that the stocks on my list moved down more than the market today. If the market closes short of yesterday's close, i will be fully bearish and adding more short positions.
Sell List: nile, ice, nyx, cy, spwr, ndaq, mgm, lvs, ibn, v, leh, wb, xlf, trn, hd, fdx, bare
Buy List: skf, uso
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