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Saturday, August 14, 2004

Checking the charts last night, I see a trade in the OEX is warranted. This will be a short term trade, no more than 3 days beginning monday. Calls will be purchased. The OEX stands at around 520 and I will attempt to buy the 525 calls. There are positive divergences on the McClellan oscillator and the RSI. I think a bounce will be in order but only a short lived one. I'll place an order tomorrow night when I see where the futures are. This is a quick trade for there are only 5 days remaining on the options. If a 100% gain is attained, I should get out. It all sounds good in theory, it always does. It looks like it's worth the risk though.

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