Wednesday, July 29, 2009

Short some JP Morgan - JPM

The daily chart of JP Morgan (chart above) shows a clear divergence between the price and the volume. As the little old lady in the old Wendy's commercials used to say "Where's the Beef?" I am asking the same only in regard to volume.

Some might argue JPM is forming a double top here. Based on this, I am prepared to punt 1 unit of JP Morgan, ticker JPM, on the short side here at $38.09. As my notes above indicate, a stop just above the recent highs should suffice.

Good speculating and remind them to please don't ever forget that "an investor is a speculator who made a mistake and will not admit it".

Open Positions:
Long 1 unit US Gold ticker UXG @ $3.05 stop @ $2.28
Short 2 units Wells Fargo ticker WFC @ $25.10 stop @ $26.26/27.41
Short 2 units Apple ticker AAPL @ $158.01 stop @ $162.11
Short 1 unit JP Morgan ticker JPM @ $37.99 stop @ $39.61

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