Monday, September 08, 2008

Flat

Whew! The  e-minis dropped 10 points in 2 minutes after my sale, but since then have rallied 14 points in 8 minutes after a bounce off of 1250 support. I covered my 1 unit short at 1264 and am waiting to see what develops. The very fast and decisive rejection of the 1250 level normally means a trip back to the 1283 resistance is in progress. 

Added Later: Apparently the fast drop was a response to a rumor that UAL was about to declare bankruptcy. UAL stock dropped from $12 to $.01 before trading was halted in it. UAL said that the rumor was completely untrue. 

2 comments:

  1. correct, but would you believe it that so far to my knowledge all of these trades in UAL stand........
    what a joke..
    cheers
    Susn

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  2. I don’t know if it makes a difference but that 10 handle move down was because locals were short and 1 large very aggressive paper seller came in. locals kept their hands in their pockets (no bids), they smelled dinner on a hook.

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