Position: DRN
I bailed on EDZ this morning. After a couple of mornings of gaps up I am kind of convinced this thing doesn't want to go lower. A look at the 60 minute chart shows a mini uptrend taking shape. The daily looks terrible as do the daily charts of the major indices. This is why I delve into the intra day markets though. They reveal things that the daily charts may not. The 60 minute EEM was flashing caution signals on the momentum indicators I use so I chose to close this trade out. We could easily gap below the now key pivot of 37 Monday morning and that would probably get me short again but I doubt that happens right now. For some reason commercial real estate is out performing right now on the charts. If you saw all of the empty commercial real estate here in Phoenix AZ. you would wonder why as well. Nevertheless I go by charts and IYR is trending up on the intra day time frames. So now I find myself against my will long commercial real estate. 56 is going to be important here. I believe we will take out some stops if we open above 56 Monday. I always keep in mind that I suck at predicting though so I am ready to leave this position with a very weak Monday open. Gold and silver are looking like they want to bounce right back up into resistance. I will watch them closely especially silver if it gets back up to 30. The law of obviousness dictates that alot of stops are situated at 30 in SLV so a strong close above 30 could kill the bears. If SLV fails at 30 this could be the chance for late comers wanting to short.
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