Friday

Nikkei on a Launch Pad vs NIFTY on a Diving Board

Post a Comment September 25, 2009 – 12:25 am |   | Permalink |  Print This Post |

Our long Nikkei position got stopped out at our entry point. We have an order to long at 10250 for $5/point.

Whilst the 1% rally in the Nikkei is tempting us to take partial profits, we expect the Nikkei to power up quite significantly higher (or for the rest of the World especially India and Hong Kong to fall OR both). If global markets DO NOT roll over, we expect the Nikkei to outperform with a target of 11200-11700 ie about 10% (we will be taking profits and moving our stops up along the way). Should we be wrong (tails), our stops will protect us whilst our shorts have no stop at the moment.

Markets are at a critical juncture. We have maintained a bearish position based on fundamentals. Regardless of what technical traders say, the fundamentals simply do not support a secular bull market.

www.theinflationist.com

www.theinflationist.com

Additional notes:

Our NIKKEI just got triggered at 10250 $5/point.

When India’s NIFTY opens for trading (note some CFD brokers offer NIFTY futures which opens for trading premarket), we will be shorting $10/point IF it remains around the same level as the close (which is ridiculous) whilst opening another long NIKKEI if it remains in the 10250 territory.

Additional Notes:
Opened short NIFTY at 4943 $10/point.

Additional Notes:
Opened another short NIFTY at 5000 $20/point and long NIKKEI $10/point at 10290 (The temptation is hard to resist).