Dr. Kris'  Instablog

Dr. Kris
Send Message
Dr. Kris hails from the land o' lakes, beer, bratwurst, and Bucky Badger. She traded in her cheese hat for a propeller beanie and has never looked back. She has two degrees from MIT because one just wasn't enough. Her life goal was to figure out the universe and having done that (at least to her... More
My company:
Stock Market Cook Book
My blog:
Stock Market Cook Book
  • Intraday Market Notes: Gas Up Your Profits! -- Oct. 1 0 comments
    Oct 1, 2012 4:39 PM | about stocks: UNG, BOIL, UGAZ

    3:30 pm ET: Better than expected manufacturing data gave an early boost to the market but the ebullience quickly wore off as the major averages began to plunge. What appeared to be a treat instead turned into a trick--is Halloween coming early this year? The Dow Industrials were up over 160 points in early morning trading but it rapidly shed one hundred of those points (don't you wish losing weight was that easy?). With a half an hour before the close, it appears that the Dow Transports (DTX)--a leader in near-term market direction--as well as the Nasdaq will be closing in the red.

    The internals are also showing an increase in bearish sentiment marked by a rising VIX (volatility index) along with a rising Trin. Today's highly negative VWAPs indicate institutional selling with Apple (NASDAQ:AAPL) topping the negative list (at one point it's VWAP was -1100!). None of this should come as good news for you bulls, and if you're still long, perhaps taking out some put insurance would be a prudent move.

    Trade Note: Gas up your profits!
    The nat gas exchange traded fund (NYSEARCA:UNG) broke $22 resistance today on heavier than normal volume. Although analysts still project a glut in long-term nat gas supply (in this country), a rise in short-term demand due to unseasonably cooler temperatures forecast for the Midwest is expected to put pressure on current supply. Today, the UNG was up over 4% while the double levered fund (NYSEARCA:BOIL) and the triple levered fund (NYSEARCA:UGAZ) were up 9% and 13% respectively. Traders with a speculative edge may wish to jump on this breakout for a short-term trade. (Please note that these are all futures-based funds that come with a healthy serving of risk so please only use discretionary funds for this trade. Remember that what zooms up can just easily plunge right back down.)

    Note to Subscribers: There is one new Stock Darling.

    Stocks: UNG, BOIL, UGAZ
Back To Dr. Kris' Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers

StockTalks

  • Green shoot: $UUP advancing +0.5% since Tuesday's breakout. Should be clear sailing until next area of resistance in $25.55-$25.60 range.
    1 day ago
  • Realty Check: Real estate funds at all-time (post-inception) highs $VNQ $DRN. [Nod to CNBC's Diana Olick for swiping her handle.]
    1 day ago
  • Xmas in July: So far, today is the lightest trading day since Christmas Eve, 2014.
    1 day ago
More »

Latest Comments


Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.