Wait for the parabolic top and the inevitable correction. Then, wait for the secondary run at the old highs -- there has been a secondary run in every parabolic bull mkt in history, bar Jan 2000 NG -- and then sell on the 2nd day down after the secondary top fails. If the second run makes new highs (never has, btw), keep playing the waiting game, then enter when the next run fails, same conditions. License to print money.
Looks like this setup will occur in SI before HO or CL, though. Who knows, may get a double play this year (and that would be suh-weet indeed!)
Further details in ''Trading Options To Win'', pp.226-231.
Also, fwiw, I think the crack spreads are going to offer huge opportunities later this year. What say you?
Wait for the parabolic top and the inevitable correction. Then, wait for the secondary run at the old highs -- there has been a secondary run in every parabolic bull mkt in history, bar Jan 2000 NG -- and then sell on the 2nd day down after the secondary top fails.Too bad Jimmy Durant didn't heed your advice. Durant was the creator of General Motors (1908). By 1920 had had lost the company, regained it, then lost it again. He spent the 1920s running another car company with moderate success, and otherwise made fabulous speculating in the markets. Working with over a billion in funds from partners, he saw Oct. '29 coming and had sold out by that Aug or Sept. Then he jumped back in at the first rebound the next year. By 1932, he was spent.
His was one of the greatest plays ever. Too bad, for he could have bought back GM flat at its eight buck low in '32.
Too scary for me. I'm buying first line energy stocks.