APRIL FOOLS

I think that my April fools was missing the rally over the last month! Beware of bogus news stories today. This day is famous for misleading market information under the guise of an April fools joke. Take MFE (McAfee) for instance. It has a history of rallying on April 1st due to the many April Fools computer virus hoaxes. You might be able to make a few bucks off of one of these fake rumors. The stock actually looks to be setting up for a pretty nice rally anyway.

The market ended Q1 with a little sell off today. I didn't see any fear in the selling (the VIX was only up slightly) so I don't anticipate any major move down over the next few days. The market has been in a sideways range over the last few days. The S&P 500 has fluctuated between 1165 and 1180. 1180 appears to be the next resistance area to focus on. I still think that we are more likely to move sideways over the next few days until Earnings Season kicks in on April 12th. I've been looking for spread trade opportunities due to the expected sideways trend. I like a Bull Put Spread or a Bull Call Spread on IPI. This stock has been rumored to be a takeover target which is why it shot up on Tuesday with some higher-than-normal volume. The trend is considered flat to slightly downward which is why I like the spread trade. It is likely that this stock will either go up or move sideways which would be great for either of these trading strategies. Some of the Gold stocks look like they might be ready to rally soon. It's hard for me to say that after being so bearish on Gold, but I can't ignore the price patterns that appear to be forming. The trend is still down on a lot of these stocks, but there might be an opportunity there if you are willing to take a chance. NEM seems to have one of the better patterns, but I'd still like to see if it can break out above $52. Have a great Easter weekend and remember that the markets are closed on Friday (Good Friday).

I know my blog postings have been down lately. I've been battling a flu bug for the last month. I felt like I was getting better about a week ago, but I've been hit again with a virus that has really wiped me out. I appreciate you patience as I try to regain my health and regain my energy for helping you guys trade this market. I apologize to those that have had to endure a class postponement due to me losing my voice. When I do get better, I am going to plan a free bonus class for all my blog followers to attend. I will cover a trading strategy that can make big returns in a very short amount of time (provided that the conditions are right). I'm doing this free bonus class to commemorate the one year anniversary of this blog. When I am ready to do the class, I will have you e-mail me at a special e-mail address to register for the class and get the class invitation. Have a great weekend.