After two days higher, on a bounce off the 50dma, I’m watching for the Nasdaq to make a lower high on the daily chart. The index is stalling midday here, and a reversal may be in the works. I’m trading this intraday using the 50ma on the 5-minute QID chart. If the ETF holds after clearing the 50ma, I’m in. The trade would fight the trend for the day, so it’s higher risk. I’ll want to see this happen with about 1.5 hours left before the close, when trading volume and activity increases.

I’d have have to agree with Tradermike, “this market is insane!” The action today is due to quadruple options witching week, and nothing more. I’m definitely not complaining. Volatility is a trader’s best friend.

My sixth sense has been on high voltage the past few days, so I’m starting to become extra cautious. There’s no way I can post every market turn here, but I’ve been spot on lately. I covered oil shorts, and went long just at the correct time. I’m expecting more upside tomorrow, so we’ll see how that goes.

OIH faked out the bulls who bought the buy signal. If you were once bitten, twice shy, would you have bought today? It’s thin, but DIG was a big winner today.  Selloff next week after prices are pinned?