Archive for January, 2010

• Grab Your Cojones and Buy Materials
  Posted by Leigh Drogen on January 21st, 2010 at 12:03 am, Comments: 0

  Let’s begin tonight with a little chart review.  A few weeks back I posted a weekly look at the $XLB which was coming into long term resistance at the $35 level.  I said at the time that I though we were due for a rejection from that level, and that it would take a few [...]

• Will Bearish Patterns Resolve Bullish Again?
  Posted by Leigh Drogen on January 20th, 2010 at 11:18 am, Comments: 0

  The weekly charts look solid to the long side as I remarked in my weekend note.  But I’m seeing bearish patterns all over the place now on the dailies.  Some great trends in retail are busted, namely $URBN $TUP and $JCG, they are all rolling over and look awful.  Materials look ugly as I’m having [...]

• The Market Hates Not Knowing the Rules
  Posted by Leigh Drogen on January 20th, 2010 at 9:16 am, Comments: 0

  So Scott Brown (R) has won the Massachusetts senate seat vacated by the late Ted Kennedy.   I have not made my views of this particular election known for a reason, mostly because I’d like to be able to talk about its effect on the market from a neutral position.  You all must know by now that [...]

• Position Sizing is Everything
  Posted by Leigh Drogen on January 18th, 2010 at 6:18 pm, Comments: 0

  Trading, like most things in life, is part science and part art form.  You must be willing to accept that there are certain strategies which work, and those which do not.  You must also learn the art of trading, develop the intuition required to read the market, and the experience on which to anchor your [...]

• Weekend Reading – Higher We Go
  Posted by Leigh Drogen on January 18th, 2010 at 3:14 am, Comments: 0

  …meanwhile, I’m not surprised our boys at NASA are snorting coke in the hanger bay, hell, if my employer just kept me around for the illusion of looking useful I’d want something more fun to do as well.  You know, I don’t mind the money that we are wasting at NASA doing absolutely nothing as [...]

• Momentum Book Update
  Posted by Leigh Drogen on January 15th, 2010 at 5:48 pm, Comments: 0

  An interesting week it was indeed.  We came in on Monday to see the market ripping, it was frothy, and everyone knew it.  Problem was that few were willing to sell into the strength, myself included, for fear of missing out on a melt up move.  I hung on, took some pain, and added a [...]

• Turn Those Machines Back On!
  Posted by Leigh Drogen on January 14th, 2010 at 12:23 am, Comments: 0

  Get those brokers back in here! I do trade commodities, but I’m sure as hell not an expert when it comes to the fundamental aspects of certain commodities markets.  Take for instance, the grains.  Would someone please explain to me WTF is going on, and why we just saw a massive dump over the past [...]

• Bull Trap
  Posted by Leigh Drogen on January 12th, 2010 at 5:11 pm, Comments: 0

  Before the close today I made sure to get something across, through the twitter stream.  The last 30 minutes today was a big bull trap, there’s more pain yet to be felt.  Many issues are not yet at support, or haven’t come down onto the 50 day moving average where they should be bought.  I [...]

• Frying In A Hot Vat of Tech
  Posted by Leigh Drogen on January 12th, 2010 at 12:29 pm, Comments: 0

  It was very obvious yesterday morning that we were overbought, the sentiment was too bullish, and some pain needed to be felt.  I said as much on Sunday night, I told you all that I didn’t like the fact that I was skipping over lower beta names out of fear of a melt up.  EVERY [...]

• Late Night Thoughts
  Posted by Leigh Drogen on January 11th, 2010 at 2:12 am, Comments: 0

  I must apologize for not posting my weekend reading two weeks in a row now.  I’ve been super busy with a host of other activities.  I’m preparing to open Surfview Capital to outside accounts beyond friends and family, it’s a laborious process.  I’ve got a host of things to discuss tonight, so please allow me to rant [...]