I told you this market was nuts.
We’re still stuck in a tight channel bouncing between 17,800 and 18,100. And I’m concerned where the Dow will finally break. As the market wobbles, though, I am still finding oversold opportunities we can sneak into for near-term upside.
Ericsson Telephone (ERIC) – for example – may have just plunged on poor results. But it found historical support levels. When it falls this low, the stock has a tendency to reverse shortly after.
I’m seeing technical over-extensions, too. The downside move – in my opinion – won’t last long. That’s all I’m looking for – a quick reversal to the upside.
We get in. We wait. We get out. That’s it.
I have no interest in waiting long-term for gains in this market anymore. It’s far too volatile. Let’s get in. Let’s get out. Boom… Profits in hand.
Consider buying to open the ERIC July 2015 11 call up to $1.
Have a great week. We’ll talk again soon, my friends.
Ian L. Cooper
Forgotten Profits