Fed cut 25 basis points

QQQ actually went up after the cut was announced, but it closed lower. The uptrend line is still intact although the selling was little bit heavier than yesterday. Closed half position on the long. We shall see how it plays out this week.

Correction or Reserval?

DOW dropped 185.58 to 8493.39 below 8500. NASDAQ closed @ 1492.77 below 1500 and Russel 2000 closed @ 408.32.

LOW dropped almost 9% due to lower than forcasted revenue. The short position opened Friday went up more than 130%!

SOHU closed with bearish harami candle posing to reverse at almost twice of average volume.

MSFT broke down the trading range and support level is @24. The long position will be opened @24 level.

Support level IBM @ 85 and CSCO @ 15.5.

OAKMX and LSCRX: the remaining positions will be closed tomorrow.

Fear & Greed

There was a big sell off this morning on LOWS. My put position finally turned positive. Out of fear that it might bounce back, half position was closed at small gain. Yet, looking at the daily chart, it’s likely that it may test 50 SMA. It’s still closed lower than the open. The greedy side of me decided to keep the rest of the position. In hindsight, keeping 1/3 position might be better idea or taking the profit by closing the position entirely. Let’s see how it goes tomorrow.

Long GSF May 20C; added SLB May 40P.

OAKMX: it’s still in the short-term uptrend since its breakout of long-term downtrend. Resistence at 31.55.

LSCRX: it’s right at resistence and overbought condition.