DIA

Berkshire’s 4th quarter results were propped up by Buffett’s $1.05Bn gains in derivatives betting (something Buffett himself once called "weapons of mass financial destruction" but, as we well know - if you can’t beat them…), which accounted for 1/3 of Berkshire’s $3.06Bn profits.

Using the PSW Alert system we were able to make 68% trading DIA, the Dow's ETF using a simple call option and the levels set by our system.

We walk you through this process, step by step, show you the levels we are watching for tomorrow and give you a 2 trade ideas, one of which has the potential to return 285% by next Friday.

Interested?

It has been a scary ride down over the last 10 days but we cannot let fear overcome us. Yes the S&P 500 has corrected 6.6% from its closing high, but did we forget it rallied 70% from its closing low?

57% of our trade ideas made money this week despite the chop.

We have plenty of time to be right on the rest and it's an opportunity for you to review the week, see the logic behind the trades and possibly pick up some of these positions for better prices than we entered them ourselves.

This shows the 45 minute chart of the ETF for the DJIA: DIA. The DIA is in the process of tracing out 5 waves down from the top. Grasp The Market 45 Minute Chart of the ETF for the DJIA Selling is intense, so it is likely that the DIA is still in wave 3 down. Note the Stochastic, RSI, and MACD indictors. They are all still at or near their lows as of Friday afternoon.

Read the weekly reviews of Philstockworld Member picks rarely available to the public!

An in-depth review of the week's trading and the news that made it happen along with links to more analysis as well as a detailed discussion of how we take advantage of day-trading index options during expiration week - something we are able to do every month of the year!

We don’t day trade a lot at PSW, EXCEPT during option expiration weeks so call it 12 times a year we turn into day-traders as the front-month premiums get low enough to make the trades interesting.

Is the S&P 500 Cheap?

The Big Picture (with ETF: DIA):This is the DIA weekly. The rally from the March lows has been labeled as an ABC zigzag (Elliott Wave Principle, p. 43). There is symmetry to this labeling because wave A virtually equals wave C. Wave A=24.24 points, and Wave C=24.64. This is a common pattern that emerges when labeling waves, and it gives the chart some continuity.

It’s been a great week so far. Stocks and commodities are moving as expected from my weekend trading report. I like to see the market unfold in a calm collected manner.

With the major indices trading mixed Wednesday, there were many stocks which traded higher on BIG volume. The list described below is a large one which is quite unusual for a rather flat trading day.

This year has been a very exiting time for traders and investors. We have seen a steady climb in prices with controlled pullbacks in the broad market and gold.

With the market trading relatively flat on November options expiration Friday, there were several stocks that hit my radar which traded higher on BIG volume. In this post, I will name 11 stocks which traded higher Friday November 20, 2009. I will be checking these stocks frequently to see if there is continued buying pushing the stocks higher.

In a previous OptionMaestro.com post, I outlined 30 stocks which I wouldn't mind going long at these levels. I wrote about getting long the stocks by using the buy-write option strategy. This is an updated post to that one, adjusting the strikes and prices accordingly for options expiration today.

With the market selling off Thursday, there were several stocks that hit my radar which traded higher on abnormal volume. In this post, I will name 12 stocks which fought the trend Thursday November 19, 2009. I will be checking these stocks frequently to see if there is continued buying pushing the stocks higher.