Current Long Positions (stop-losses in parentheses): TICC (8.82)

Current Short Positions (stop-losses in parentheses): SPY (113.30), DELL (13.26), URBN (36.60), SNX (27.03)

BIAS: 42% Short

Economic Reports Due Out (Times are EST): Housing Market Index (10am)

My Observations and What to Expect:

  • Futures are up moderately so far this morning. 
  • 1130-1131 level on the S&P will, once again, be the main focal point for the bulls and bears. 
  • S&P prime to open up right near the resistance level. 
  • Nasdaq looking to make it 13 out of the last 14 days of advances. 
  • Going long at this juncture is a high-risk trade, reward is considered minimal. 
  • Bears could do themselves a favor by pushing the market below 1113. 
  • 3 out of the last 4 market sessions have ended in doji candles, indicating market indecision at current price levels. 
  • Week following September Options Expiration is historically bearish. 

Actions I Will Be Taking:

  • Only way I add any additional shorts to the portfolio, is if we see a substantial breakdown in the markets today. 
  • If we do close above 1131, I will close out all of my short positions, but will not go long. Will sit in cash. 
  • Gap, as it currently stands, seems likely to be faded. 

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