Weekend notes

Well, I got it half right in my last weekend notes: I thought most people would have held on to the belief that the decline commodity is good for the market a bit longer, guess by now many have started to see the gloomy outlook for the global economy.

As the Fed running out of the ammunition, Uncle Sam steps in this time to try make yet another artificial bottom here. The major indices will rock higher tomorrow, but I seriously doubt that rebound will have the staying power.

The precipitous drops in the last several days prompted me to get in a bunch of long positions late last Thursday (all Oct. calls), I exited half of those late last Friday (MEE, CNX, CF, WLT), and will exit the rest (QQQQ, AKS, X, FCX) on Monday/Tuesday. Have been too busy to do any trades for a while, and felt happy with this round, should all be decent winners.

Not a whole lot of setups for the next week, which will be extremely volatile, but my overall strategy is closing all the long positions into the rally, while start to look for short setups (especially in financial, retailer and tech sectors) once the rally starts to losing steam). For tomorrow, I will keep close eyes on SKF, will consider long if it can spike towards 90.