Buy VXX

Yesterday VXX broke the low made mid last year.  That means the market is extremely optimistic, but to me it signals at least a medium term correction of the recent rally.  There is not much downside but the upside potential is huge if it bounces half of the recent drop.  I bought some VXX at 18.8 and some 19 April call at 1.5 and 1.4. If it really bounces to 34, the option will worth 17, that is 10x profit.

Short ES again

NQ under performs ES yesterday and this morning.  ES broke 1400 briefly and retreated a little.  I shorted June ES at 1398 and put a tight stop just above the day high at 1401.  Finger crossed.

HSI target

In a long term bullish trend, a correction 1/3 of the rally is not uncommon.  By simple arithmetic, the correction of 16139-21764 trend could reach 19889.  It also roughly match the current a-b-c correction pattern started from Feb 20, which projects a low of 19839.  Should consider going long around 19900 in 2-3 weeks.  Let's see.

Market rebounded strongly

The crude oil position was cut at 106 by the overnight protection order.  The bullish bias was helped by news that weekly crude oil inventories increased by about 832,000, which is less than the build of 1.5 million barrels that had been broadly expected.  To protect the profit on ES, I closed half of the position this morning at 1052.

The take away is "close or half the position before major news announcement."

Start to run

The global markets started to fall today.  According to Yahoo Finance, "news about slower global growth prospects has triggered some broad-based selling". Afternoon in HK time, ES in electronic session showed some weakness, but the crude oil is still around the unchanged mark, so I sold one April contract.  Recently, oil and stock market go up and down together.  I expect the crude oil to drop.  It have dropped 1.35% at the time of writing.  I feel good when riding on the right side of the market.

Time to short ES

ES recently broke the multi-year high of 1370.  I expect to have at least a pull back.  With China revised the growth target to 7.5% by Mr. Wen, it is a time to sell.  The drop led by NQ this morning triggered the move.  It hit the stop sell at 1360 soon.  I set the cut loss stop at the intraday high of 1367 and go to sleep.  Expecting it to go down to around 1300 in a week or two.

An amateur trader

I am an amateur trader.  Like most of other retail traders, my aim is to get financial freedom while enjoying the process of achieving it.  This blog is created primarily for my own review of trading ideas.  I am happy to share with whom find it interesting and useful.