by christmas... I think we re test $85, and then im shorting, buying some cheap December $82.50 puts. No way this market has legs. This is typical thanksgiving rally. happens every year folks. Enjoy it while it lasts, and be thankful i told you to sell.
Seems to me that there is significant support at $80. It's tried to break below that level 7 or 8 times since May and every time it bounces off that support. Assuming Washington plays their cards right and the Middle East doesn't explode into chaos I don't see us going much below $80. I'd sit tight until the new year and see what happens. I'm not selling out here and I'm ready to double down if the US economy continues to pick up. Some are saying 3% GDP growth by Q1 '13. That would help.
Rich,I like your attitude on this.Sometimes I think I may read into too much of the writings in this market.I say this,because I was reading another article that was saying that maybe Cat was basically losing its steam.This made me wonder if JPM could be right and watching it today get to $ 1.52( which is not bad ) and struggle to stay there,but picked up a little bit more later.I was thinking about maybe selling out some are even all.Reading your point about holding support at $ 80. was right on ,it did hold strong.
Now,ive been reading that China has been given the go ahead on the stimulus for ome of their infrastructures to build new highways and repair old ones ,build on to their airports and runways and water ports.With this in mind,you may be very correct on the growth by Q 1 ,2013And I will be holding.