Trade Ideas for 10/06/09

The market continued its bounce off its 50-day moving average and is now at a somewhat important decision point. A reversal from here strongly suggests the high was put in last month, and such a reversal has the potential to be powerful. However, this was true at several points in the recent past, and each time the bulls took the market to new highs. We'll soon find out if this time is any different.

We bought DGP and SSO today. Tomorrow may be an important test with respect to the direction the market will take over the coming week or two. As such, we will sell all of SSO on a negative close and consider selling up to half the shares in the short positions on a negative close.

Current Holdings
Ticker	Basis	Closing Price	Perf.	Sell-Stop	Addl Exit Guideline	Chart
FXP	8.96	9.92	+10.7%	9.39	Consider selling up to 1/2 on a negative close	Chart
SRS	9.56	10.12	+5.9%	9.05	Consider selling up to 1/2 on a negative close	Chart
DUG	14.31	14.89	+4.1%	14.31	Consider selling up to 1/2 on a negative close	Chart
SKF	25.11	25.49	+1.5%	23.99	Consider selling up to 1/2 on a negative close	Chart
QID	23.17	24.10	+4.0%	22.56	Consider selling up to 1/2 on a negative close	Chart
TWM	28.06	29.71	+5.9%	27.27	Consider selling up to 1/2 on a negative close	Chart
SSO	32.68	33.22	+1.7%	32.34	Sell on a negative close	Chart
DGP	23.06	23.42	+1.6%	22.41	N/A	Chart

For tomorrow, QID is a re-up. If elected, set sell-stop on all positions to 23.87.

New Trade Ideas

Ticker	Entry	Exit A	Exit C	Chart
QID (Ultrashort QQQQ)	24.72	23.87	N/A	Chart
CSIQ (Canadian Solar)	16.56	15.99	N/A	Chart

Please refer to "How To Trade The Ideas" (right-hand side) to read this table.