Replies to post #1283 on Trading SPX Cycles

[Torqputty]

bbgold; option question

I purchased the SSO option below for .20 cents each on 11/3/11 (virtual trade) then this morning the position value shows 0.00 and I did not initiate a Sell --- What coulda happen? I believe there was low volume (400) at the time of the purchase.

SSO Nov11 52 Call PROSHARES ULTRA S&P 500
11/03/2011 Buy To Open 100 SSO Nov11 52 Call $0.20 ($2,151.95)

[northam43]

bbgold - Right now this is a 60 min pullback. The projected low was 1247.4 and we have gone below that with the current low at 1239.58, the average 60 min Phase 1 lasts 7.8 hours so this Phase 1 could last all day. The 60 min low is normally put in by the 6th trading hour. So that would be at the close. Right now the 60 min price is at the LTL, a cross above the LTL normally signals a move to the UTL.

The SPX Daily opened above the UTL so it remains in Phase 2 for today, the Daily price is currently below the EMA 8 level but above the LTL, so if it closes above the LTL, there is a good possibility it could remain in Phase 2 tomorrow or we could get a new Phase 1 confirmed. Right now the current Daily Phase 2 high is 1277.55 the projected high was 1280.18, the projected high was due to be put in today. If we do get a confirmed Phase 1 tomorrow the projected low will be 1209.23

The SPX Weekly price is just below the UTL. It opened the week above the UTL so it remains in a Phase 2 the entire week. So right now the odds of a Weekly Phase 1 are slim.

The SPX Monthly price is just above the EMA 8 level which is 1246, if it breaks below that support level the EMA 3 is at 1236, the LTL is at 1178. The Monthly needs to get to the 1290 level for the Monthly Phase 2 to continue.

So hopefully this is just another 60 min pullback and tomorrow we head back up.