The ‘jackpot’ put bets I’d suggested for Friday failed to trigger, but we’ll keep trying. Specifically, we can revert to an original rally target at 224.73 for purposes of getting short. I’ll suggest using near-the-money puts with a life span of no more than 7-10 days, since we are looking to catch a top very precisely both in price and time. This trade should be done with DIA 224.59 or higher. If the trade sevens out, we have one more promising Hidden Pivot resistance to short — at 225.71. A run-up to that number would become an odds-on bet if DIA closes above the 224.73 pivot or trades more than about 0.25 above it intraday. _______ UPDATE (Oct 2, 10:43 p.m.): Buyers shredded the 224.73 Hidden Pivot, but I’ll suggest trying again at 225.71 with a small put purchase. Stop yourself out if the options lose 25% of their value. _______ UPDATE (Oct 3, 8:37 a.m.): DIA’s pre-opening short-squeeze precisely to my target will make the put buying strategy I’d advised tricky. To simplify, let me recommend placing a stink bid of 0.35, with 0.05 of discretion, for two Oct 13 225 puts, good only for the first 15 minutes of the session. This is akin to a ‘jackpot bet,’ since DIA will either reverse from the 225.71 target…or not. My goal is not to make a pile of money, but simply to have some skin in the game at a promising HP target, so that the relentlessly boring bull market will at least seem slightly interesting for a day or two. _______ UPDATE (Oct 3, 10:02 p.m.): We missed buying the puts by a mile because of an error in my instructions, but this turned out to have been a good thing. For now, let’s stay away from puts — at least until DIA hits the 227.88 target shown.________ UPDATE (Oct 4, 6:38 p.m.): Short 227.88, as suggested above, but do it gingerly, since any higher would imply that DIA has eyes for the 228.42 Hidden Pivot shown in this chart.
