Monday, August 10, 2009

SLW – Silver Wheaton (Last:9.74)

– Posted in: Current Touts Free Rick's Picks

We hold the September 10-August 10 calendar spread four times for an effective CREDIT of 0.90. Let's try to leg out of it for at least 0.50, first by bidding 0.15, day order, to cover the short August calls. If the order fills, offer the September calls to close for 0.65, good-till-canceled. If we are able to exit the spread for our price, our paper gain on the position would be $560.

GS – Goldman Sachs (Last:163.65)

– Posted in: Current Touts Free Rick's Picks

Goldman is in crucial territory, having narrowly failed on its last thrust to reach a ______ target we've been using for quite a while. The stock also failed to surpass a ______ peak made eleven months ago,  thereby squandering an opportunity to refresh the bullish trend on the daily and weekly charts.  These signs will become more worrisome still if the stock extends its losing streak today by falling beneath yet another low on the hourly chart at _____.

CLU09 – September Crude (Last:70.65)

– Posted in: Current Touts Free Rick's Picks

Crude quotes have risen 65 percent from last winter's lows near $44, but all of the action has taken place beneath a key resistance peak at _____ recorded just after Halloween. That's the number to beat, but until it happens we should regard the effort as no more than a strong bear rally. More immediately, there's a key midpoint support -- formerly resistance -- at ______ that we can use as a minimum objective for a pullback from these levels. It would be invalidated by a print above 72.84.

DXY – NYBOT Dollar Index (Last: 78.79)

– Posted in: Free

Da Boyz have goosed the dollar exuberantly Sunday night, creating bullish impulse legs on all of the intraday charts, though not yet on the daily. That would take a print at 80.90, although bears are already on the run because of where the rally originated -- i.e., from a whipsaw low that fell just beneath last December's watershed bottom at 77.69.

GCZ09 – Comex December Gold (Last:947.40)

– Posted in: Current Touts Free Rick's Picks

Gold's breach of a minor midpoint support at 958.00 om Friday implies moderate weakness down to as low as ____ over the near term. That's a Hidden Pivot support, and it should be viewed as a low-risk buying opportunity. Bid there with a ____ stop-loss if the chance arises. Alternatively, a pop above _____ would create a bullish impulse leg on the lesser charts, turning the minor trend back to bullish.

ESU09 – E-Mini S&P (Last:1006.75)

– Posted in: Current Touts Free Rick's Picks

Friday's short squeeze to 1016.00 left an unachieved rally target at 1019.25 that is still valid in theory. This hints of at least mild weakness to come, although there is no predicting Monday morning's mood. If there is selling, it would not become threatening unless the low recorded on July 31 at 978.25 is exceeded to the downside.  Night owls looking to get long Sunday using camouflage will need a choppy ascent that appears to struggle its way past the _____ peak made on the way down on Friday. It is visible on the 3-minute chart.

Is Wall Street Ready for Obama’s Fall?

– Posted in: Free

The stock market's powerful bear rally, now five month's old, has fed on false hopes and delusional thinking, but it is unlikely to survive the coming collapse of the Obama presidency. Mr. Obama's once-overwhelming popularity, though ebbing, has so far survived the voters' growing discontent with his policies. However, disapproval is mounting, even on the political left, and it's going to reach critical mass once the president's ill-conceived plan for a government takeover of the healthcare system has gone down in flames. He will become a lame-duck president after less than a year in office, leaving the country rudderless at a time when the economy and financial system are desperately in need of a firm hand or at least the appearance that someone is in command. Investors had better prepare for the inevitable darkening of America's mood, since its effect on the stock market will not be pretty. It is often said that Wall Street abhors nothing so much as uncertainty, but this will be far worse - a plunge into despair or even chaos that will make the nation's depressing wallow during the Carter years seem sunny in comparison.  His Brazen Lie Concerning Obamacare, its failure to gain traction goes much deeper than Hillarycare's abortive flop in 1993, early in Clinton's term. In the interim, healthcare costs have inflated so horrifically that Americans have become desperate for relief. For businesses and individuals alike, health care has become increasingly unaffordable, and all of us are paying much more each year for less coverage. That should have made socialized health care an easy sell. Instead, Obama chose to remake the system so radically and so ambitiously that almost no one believes him when he says that it won't cost us - except for "the rich" -- any more than we are paying