June 16, 2008

Daily Review and Market Commentary for June 16, 2008:

This week we will start to create our monthly portfolio- if you have not created your ThinkorSwim Paper Money account please do it asap.

Several students who do not live in an area in which TOS is available – but is pending – have mentioned they are able to use the TOS platform for Paper Money trades by asking TOS support. So don’t let the fact that they are not available in your are yet stop you from asking if you can use their Paper Money trading program.

I reviewed a few potential trades today but did not put anything on yet… I just do not like the risk at the moment.

As I mentioned in last weeks Daily Review there is the potential for a large drop in the market… the VIX looks like it’s forming a flag pattern (see VIX screenshot below) that could – potentially – move it higher. And as we know, when the VIX moves higher, stocks decline in most cases.

I would rather see that happen (it will increase the Volatility) first before putting on any trades for this month… if it doesn’t happen in the next few days then we should be ok to place the trades because it means the probabilities for it happening have decreased.

Tomorrow I will email you the trades I do (if any) plus send you the Daily Review video to show how they were done…

I will update you again by email in the morning…

Trade WIth Confidence