June 18th, 2010

The market is continuing to move higher in light volume.

The spot gold is breaking out.

The VIX broke down below 25.

June 17th, 2010

Now the market volume is picking up.

Now I believe yesterday action was to get longs to buy after S&P 500 break 1105 to 1110 resistance level.

TZA did dropped below 6.50, but today it is climbing back up above it.

I have to say yesterday action was shake and back the shorts and longs depend how you are invested.

June 16th, 2010

Since last Friday the market went up in low volume.

I don't believe in this rally at all since last Friday.

The market will retrace back down to last Thursday opening gap.

Since the market went up in low volume, the shorts are covering and little buyers are stepping.

June 15th, 2010

Again, the market hit the resistance level at 1103 to 1105 for S&P 500.

It seems like GS is struggling to go up comparing with the overall market.

Something to watch for.
VIX at 25
TZA at 6.50
S&P 500 at 1103 to 1105 area.

June 14th, 2010

The market is right back at the heavy resistance level. S&P 500 at 1103 to 1105 area.

Last Friday action was a up day for the market but the volume was light.

If the S&P 500 take out 1103 to 1105, then you can expect a right shoulder to form.

June 11th, 2010

There is a heavy resistance level at 1085 to 1090 for S&P 500.

Watch VIX at the support level 30.

If today the market closes above 1090 and forms a white bar, go long for a brief rally.

If that is the case, I will close my short position on BIDU and reenter later on.

June 10th, 2010

Watch S&P 500 at 1085 and 1090 area. That area is a very strong resistance level.

Also watch for VIX. If VIX closes below 30, then you could expect the market to retrace much higher from here.