This is a 3:15 intraday update of Turov on Timing for Wednesday, November 17, 2010.
TOT daily traders went 300% long at SPX 1179 earlier this morning. On my 10:30 intraday update, with the SPX then about 1182, I recommended raising the stop to an uncharacteristically tight SPX 1179 breakeven. The reason was that I was unimpressed by the morning’s action, and I wanted to play it very close to the vest. That recommendation was vindicated a few minutes ago when the SPX declined enough to trigger the breakeven stop. As a side note, since Rydex does not allow stops, I liquidated all long positions for all Rydex managed accounts at 10:45 and went into the money market fund.
Regardless what happens in the next ¾ of an hour, my NASDAQ model is anticipating a sharp upside move early on tomorrow morning, possibly including an overnight gap. For that reason, I recommend reestablishing the 300% long position on the close and carrying that position overnight and into tomorrow.
Thanks for the opportunity to be of service, and I’ll email you again in about 8 hours – or sooner if circumstances warrant.
Turov on Timing is Copyright © 2010 by Turov Investment Group Inc. All rights reserved. Turov on Timing is for personal use only. All caveats and advisories that appear in the monthly Turov on Timing apply equally to this email. Re-publication and distribution is strictly prohibited. No part may be reproduced without the permission of the Turov Investment Group Inc.