I was feeling a lot better about the market (and trading) last Friday than I am right now. This trendline has the electronic magnetic ability of………of…………..of something with a lot of magnetism.
The only good news I can express (for the moment) is that all that has been accomplished during this insane rally over the past 30 hours is that we’re tickling, teasing, and stroking the underside of the broken trendline. If, God willing, this thing holds, this is a perfect affirmation of its new role as resistance.
The above charts are of the /ES but the same idea is cleanly illustrated by way of the SPY:
I am still VERY light (25% cash) but I have taken the very-un-Tim-like (and perhaps desperate) act of establishing a long put position in some quite short-dated options: specifically, the March 13th $403 puts, for which I paid $4.98. The other 17 positions are my normal thing (no earlier than June 16th expirations) but this is a wild card.
