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发表于 2012-6-12 03:20 PM
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We bought FAS this morning and more SPY this afternoon. The following explains my portfolio as of today's close:
Long Term - Big troop dolloar amount allocation: TLT 75%, SPY25%, cash 0%
Medium Term - Small troop stock holding: TQQQ, FAS
The bullish scenario-1 (see last week's My Trade comments) is still working and looks so far so good. With this scenario, we don't know if wave-2 has finished or not. It could end at the dip this morning if the wave-2 is a simple correction. It might have another leg down if the wave-2 is a complex correction (abc mode). We will continue buying SPY either way. Right now the possible Inverse Head and Shoulders (left shoulder - 05/18, head - 06/04) seems to be the preferred one for us to play with. The neck line of this pattern is Monday's high (1335-ish). A breakout of the neck line will confirm this pattern and fuel a surge to challenge 1375-1400 area. (Note that this scenario will become invalid if the market falls below the head). |
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