We have to GAP up on Monday and here's why!?
Naked Call sellers (don't even ask, its OVER your Head), have to cover and da-Boyz know this, hence, since these Naked Call Writers will have several call options exercised on-em come Monday morning they'll bee "Buying to Cover" with reckless abandon!
This is status quo when we have a Uptrend that maintains its integrity into the OE close?
We expect prices to GAP up on Monday and Close at the highs since some may wait until the end of the day to cover their positions?
In addition, we have IBM reporting after the bell, this should aid the end of day Jam-O-Lee as well?
The Q's closed at 33.75 on 04Nov08, and the day after, when Obama was confirmed as President, we started a slide that'll take us to the depths of Despair on 21Nov08, 25.05! We then attempted several times to pull ourselves out of said despair only to be denied at 31.63 on 06Jan, then again at 31.68 on 10Feb!
The Q's made another trip down to the depths of despair only this time finding a way to HOLD da-line at 25.63 on 09Mar and make another run at the 31.68 level!
FOUR long months later we find ourselves back, back, knocking at the Highway to Riches Door, the above the 33.75 04Nov close door, sweeeet!?
Prepare for a GAP up and a close at or near 33.75 campers, BUT, know that IBM has taken a serious hit by the dollars strength and is like-lee to disappoint after da-Bell on Monday and we'll find ourselves retracing and filling some GAPS of meaning on Tuesday (turn-around Tuesday), or NOT!?
Have a great weekend ALL!
