SUCCESS STORY

hello genius (Jerry)

Your blog on Tuesday during the market hours was the best I have ever witnessed.

I bought

30 calls tlt at 3.55 sold at 6.5 profit $ 8,800

50 puts anr at 1.76 sold 3.76 profit $ 10,000

20 call tza at 4.35 sold at 8.5 profit $ 8,300

i was out of there trade on Thursday . wait for my Friday trades you will love them

thanks Nassem

IS THE WORLD COMING TO AN END?

This was the drop that we were anticipating over the last two weeks. Near the last hour of the day it looked like we would close below that key 1120 support level. This would have ensured a quick drop to that next support level around 1040. With the late session rally back above 1120, it looks like the market could stage a snap back rally tomorrow...or at least in the near future. These snap back rallies are normal and almost always follow a big drop in the market. Any rally would likely provide another opportunity to make money. If you didn't take profits on any of your bearish positions today, you could end up giving that profit back. Professionals take profits...especially on a big down day (or two big down days). Pigs get slaughtered so don't be a pig. I don't expect any potential snap back rally to last long, but you do have to respect the fact that the market could rally back up to that 1200 area. I am expecting a larger rally in the market to take place, but I don't think that will happen until we test the 1040 support area. For those looking for a new trade, my advice would be to be patient. I'd wait for a small rally or a close below 1120. For those looking to jump into gold and silver, you should also be patient. All I heard today on CNBC was to buy gold, buy gold, buy gold. When you hear a lot of people telling you to buy something (after a big drop), it usually means that it isn't done dropping. Stock usually bottom when the buying interest is low....or in other words, the buying confidence is low. As long as the dollar keeps gaining strength, it is going to be harder for gold (and other commodities like silver and oil) to mount any significant rally. As the market nears that 1040 area, I would then look at gold and silver for a potential bullish trade. At that point I could see the market rallying, commodities rallying, and the dollar correcting. For those that made money on this latest drop, please send me your success stories. As always, is doesn't matter if those success stories were from my blog picks or your own trades.

SILVER UPDATE

This post is from Chaz...a commodities trader that writes a monthly newsletter on the precious metals market. He has given me permission to post it on my blog. As a disclaimer...I (and Option Magic/Market Trend Signal) are not responsible for the content or recommendations in this newsletter. Also...a lot of this information relates to trading the actual commodities. There may be some terms or strategies that you don't recognize. This update is meant to be an information guide for those of you that are trading gold and silver...or just the gold and silver ETF's like the GLD or the SLV. This commentary is opinion and analysis. You must still use good money management and trade management principles. You must also read the charts. No one...I'll repeat...no one knows the exact future of any event on Wall Street. You must still do your due diligence. I have been a bit disturbed lately to hear of students that are risking everything on these recommendations. That is not what I have taught you. I teach trading...not gambling. If you are going to ignore my teachings, you better be willing to take responsibility for your decisions. If you have not had my coaching classes, please do not trade any of the recommendations in this blog. You need to know what you are doing first. Trading is more than just stock picks. That said, I always appreciate Chaz's opinions and commentary. Thank you Chaz!

Good evening traders. My, oh my, what an interesting day. There is only one way to describe today's action. WHAT A WONDERFUL GIFT!!!!! I hope most of you realized what was happening and loaded up on Dec and March calls. There is so much to tell you that I don't know where to begin so I'll just dive in and trust you've learned enough by now to put it all together. .......... Today is a classic textbook example of why we do not trade contracts. This mornings open on the Dec contract was 39.67 and the close was 36.57. That's a 310 point loss. You would have lost $15,500.00 on EACH contract in your portfolio. Right now, your broker would be screaming at you to sell your house to cover your massive margin call. ...But... we own options, not contracts. Our options are temporarily out of the money but we still OWN them and no one is yelling at us. ....What we saw today was computer rigged high frequency trading designed to shake traders out of their positions by trying to panic them into selling. I don't think the shorts were able to buy back very many positions today. The ferocity of this attack was a little surprising but also VERY telling. It is very clear that the shorts are in a panic stage and want to cover as many positions as they can. I'm pretty sure the 30 year long manipulation in the metals market will end very soon . Possibly on Sept 27th. Thats expiration day......Now this is interesting. The uptrend line on the daily and weekly Dec chart has been broken but not on the monthly. That line is VERY solid. This bodes well. It means that this market is about to get VERY volitile. Today may well have been the opening gate. A few days ago I told you that any sell off would be very short lived. I managed to get filled on a very nice position today but I had to pay almost twice its theoretic value. I have outstanding orders more than double those I got filled on so I hope the shorts hit this market again tomorrow but I don't have my hopes up. I think it is probable that the worst is over but I hope not. I'd really like to see the rest of my orders filled. My offers are well above theoretic value. The very fact that these orders are not being filled makes it clear that panic is in session in the church of the shorts. They have raised the dead only to discover they have raised themselves. ......Let me make this VERY clear.... This sell off WILL be VERY short lived. I will not be surprised to see silver back near the 40.50 area by next Tuesdays close. Whether or not it is , is irrelevant. What matters is this market is about to get VERY volitile. Remember to take profits as I suggested when the targets are hit. Reread the other days newsletter to reconsider my suggestions. Trade as you wish but please trade wisely. Trade with your mind, not your emotions. Trade well my friends.................The following is intended for Jerry's students. Hi, everyone. The above comments are for commodity futures traders who are trading long term positions. Jerry does not teach this type of trading . If you are following his suggestions to trade along with what I teach ,then you should be trading the Jan SLV. I would strongly suggest that that you listen carefully to Jerry's suggestions in his blog and get in and out of this market as he recommends following the moving averages. This market may well be about to get wild and wooley. If you are unable to handle the mental stress of trading in a market you may not understand well,then I suggest you consider sitting on the sidelines and playing a calmer market. I've waited 30 for this cycle to come around. It's now here and things are going to be very exciting over the next few years. I'm not 100% sure the gate just opened but I am certain we just heard the trumpet blow. Its past post time. The race is beginning. Happy trades....Chaz

SUCCESS STORY

Jerry,

I took course 1 and 2 during the spring early summer time frame. I have been doing a lot of trading since.

I purchased 10 contracts of ZMH Oct. 55.0 Put at $1.55 on 9/19 and sold the contracts on 9/22 @ $3.50 . That was a nice $1950 profit in 3 days.

On your recommendation I purchased on 9/15 TZA 10 contracts of Oct. 46.0 Call at $5.50 and sold 5 of those contracts on 9/22 at $11.25. I now have all of my money back on this trade and I am now working on pure profit.

I also purchased on 9/20 TZA 10 contracts of Oct. 49.0 Call at $4.65 and sold 5 contracts on 9/22 at $9.70. Again I am now working on pure profit. I have all of my money back on this trade.

These are just my completed trades over the last few days. I have about 10 other transactions still at work and making money on all of them. I have one trade still going that I am making 300% right now an it is still working. Tomorrow I will be taking some money off of the table on this one.

You and your classes have been invaluable.

Thanks,

Dan

SUCCESS STORY

Hey Jerry,

I took your level 1 class in options trading. Great class and I have done several trades now almost text book on the ABC patterns, and I have to say my new best friend in town is this Fibonacci Guy, great fellow (LOL). I have to say I have improved my trading quite a bit, and with better trading results take care of themselves. You have a great blog and you are a wonderful teacher. If I regret anything about that class is that I should have taken it way earlier.

Here are some trades I did in the last few days:

Bought FAZ at 51 and sold it at 63 right after the bullish pattern, then waited a bit and bought FAZ again at 56 and sold today at 71. May be I sold it too quickly but with this volatility I took the profits just like the professionals do right. I did similar operation with BGZ , bought at 40.49 and sold at 47, and also bought TZA at 41.98 and sold it at 55 today. Also had BIDU short at 142 and covered it today at 129 right above the 200MA.

Again, Thanks a Million Jerry. I am signing up for your next class as soon as the crazy working schedule is over.

brgds

Roman

SUCCESS STORY

Jerry,

I just closed my positions today. I have been watching the market and yes it can go lower, but I decided it was time to take these in, since time might be running out and I am on vacation tomorrow.

43% return on CVX OCT 100 PUT

12.4% Return on SPY OCT 123 PUT

20.4 % Return on TZA OCT 44 PUT

28.8% Return on FAZ OCT 57 PUT

Overall a $2500 return or 23.6% on 4 trades in 9 days.

I placed these trades when the market shot up, so I was over 50% under water at one point, and bounced back in 3 days. The emotional rollercoaster is tough. I am happy with my gains. I hope next time I put some more thinking into the risk/reward aspect.

Lets see what happens tomorrow and next week. SP500 certainly tested 1120 and there are big sell offs everywhere. Looking forward to your update on today’s sell off.

This is a good start and yes, the system works. I needed some success after slumping all year long. I am excited to keep trading and making more moves.

Have a great weekend,

Andy

SUCCESS STORY

Jerry, below are my realized gains with only one small loss occurring within 5 trading days. Since we gapped down, I exited TZA before my sell limit but all others hit my mark with an automotive execution. I have another $2,200 unrealized gain that I am comfortable waiting for. Thank you for the advice. Ken

Description	Bought	Sold	Gain/ (Loss)
10 GE puts	1,377.49	2,192.34	814.85
5 FAZ calls	3,963.74	10,960.98	6,997.24
5 XOM puts	2,208.74	3,836.12	1,627.38
2 IBM puts	1,551.49	1,138.48	(413.01)
10 PFE puts	1,237.49	1,492.36	254.87
5 TZA calls	3,513.74	7,761.05	4,247.31
Total Gain			$ 13,528.64