So much for a "rip the face off the bear" rally. October is definitely living up to its reputation as crash month. We've now moved 2000 points lower on the Dow since the bill passed and 2400 since the original bill vote in which Pelosi ran her mouth off. Now, she wants to propose a $160 Billion stimulus package. Had she kept quiet, we may have had a chance to stem the fear in the capital markets and stop the trillions that have been wiped out. Obviously, there are other major problems at hand but a lot of it is psychology(fear) and I still believe we had a window of opportunity to prevent this meltdown during that first vote.
Anyways, it is obvious nobody wants to risk the little money they have left in the markets...unless you're a short-term trader. I was glad to see the short ban expire as the bid/ask spreads on puts finally closed up. Unfortunately, stocks I wanted to buy puts on (asset managers LM, BEN, BLK) have already made the move lower the past few days.
Today was take your pick to short day at 11AM. I went with OIH. I should have held through Friday but did pick up $4.00 on the Oct 130 Puts.
I found a narrow range on WFC and went long (this was before everything broke down) some shares @ 28.30 but was stopped out at break-even 30 minutes later. I'm not including the chart because there are too many trendlines/moving averages to see anything helpful.
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