Trade Ideas for 11/16/09

Today marked the fourth full day inside the trading range. In the past few months, we've seen a pattern of trading ranges at uptrend tops, and specifically, an intraday high hit on the fifth day followed by a fast drop:

Monday will be the fifth day in the range. If history holds, in the next session the S&P will break its recent high of 1105 but then close well below. History doesn't have to repeat itself, but the recent pattern does make me wary of buying a breakout. We were stopped out of ICO today for breakeven.

Current Holdings
Ticker	Basis	Closing Price	Perf.	Sell-Stop	Addl Exit Guideline	Chart
TWM (trending)	27.58	29.25	+6.1%	26.99	N/A	Chart
TWM (trading)	29.66	29.25	-1.4%	28.18	N/A	Chart

Will Monday bring reversal? Let's see: three short ideas arranged in descending order of aggressiveness (EEV most aggressive).

New Trade Ideas

Ticker	Entry	Exit A	Exit C	Chart
EEV (Ultrashort Emerging Markets)	12.06	11.49	N/A	Chart
SMN (Ultrashort Basic Materials)	9.51	8.99	N/A	Chart
SKF (Ultrashort Financials)	25.58	24.57	N/A	Chart

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