Tuesday, March 5, 2013
Bullish diagonal spread on QQQ
I had exited all bullish trading positions a couple of weeks ago. Since then, the market had a little drop but not to the degree that I was expecting. In the last couple of days, market seemed to start low and close high with lower volumes. Today, the Market appears to shot higher with solidly higher volume. So I think market is back to bullish outlook at the moment.
QQQ meets my bullish entry criteria as it broke out in the morning. So I decided to long QQQ for July$66c/April$70c bullish diagonal spread. This was a laggard in the last market rise. My guess is that it may catch up in the new rise. Other index (i.e. SPY) has MS over 80, which prevents me from long according to my rules.
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