Asian stocks take another beating

Unreal. Here we go again. The thing is at the close of yesterdays market there was a clear bottom candle. Now this news might interfere with the technical charts. Arrrgggghhh. The news as of late is really screwing up my trading. I mean, I have been making money even on these screwy down days but it is really taxing; I have to keep a sharp eye on things in order to keep up with the twists and turns of the day.
Ok. We bought DD calls at the close yesterday. Now Asia is having another rout overnight in thier markets. Things might open down tomorrow. Like way down. If that happens, here are the things that I can do.
1. Go with a single dayoption (put or call)  2.5 hrs after open. Seeing that with those I pick strike prices that are close to expiration and really volitile, I can make most of my money back.
2. Then at close, go with another DD call or put.
3. I could buy a DD day options (put or call) that will allow me to eclipse the DD from the night before as the night before is a week further out and thus will not move as much as my DD dayoption (put or call). Thus is the power of the STRIKE PRICE.

I look foward to the challange of the market. So far I havent been whipped around yet as of late. That is the worst thing that could happen to me. An example of this? I look at the end of day and see that stocks are due to bounce back up the next day or two. I buy calls. The next day the market starts rocketing down. I purchase daputs. Immediately it turns and rockets back up. I lose the dayputs and turn around and buy dallcalls. Suddenly the market starts to drop again.
We've all been there. Almost as if they were watching your account and making the market go the opposite way of whatever trade you make.
If youve been reading my blog you may have taken note that I said the market 80% of the time is in a technical cycle and 20% of the time is in news cycles where the news overrides the technical candle charts. This happens because no matter what the candles are saying, a plane hitting the world trade center causes all technical charting bets to be off. Its reactive immediate and sudden.
Right now we are in that 20% cycle, which is why Ive been scrambling after it like a garden hose turned on whipping all around the yard with no one holding on. China is having its bubble in the market melt down. Oil is having a melt down. Traders globally are starting to panic. So these are not calm times. And when I make the call that the candles gave a clear bottom signal, if this was an 80% period we were in well dammit, there would have been an 90% chance the market would have bounced tomorrow.

So I am just going to have to sit back wait and see.

Tradinginsider