TUES. JUN. 17 THOUGHTS

One concept that most traders fail to understand is this: when the markets are very active, do everything you possibly can to earn a living. These times do not happen very often and this is when the money you will make for a week or even a month should be garnered. However, when every little is going on, always keep an eye on things but don’t push buttons. In other words, don’t try to create action where isn’t any. Yesterday was a fine example of this. On a Monday in June when newsflow was not all that great and many people were out of their offices, television sets throughout the country were tuned into the playoff between Tiger and Rocco instead of CNBC. Now, if everybody is paying attention and you are not, this is a problem. But if nobody is paying attention, and you try to make something happen, that is trouble as well because if stocks aren’t trading, why should you be the first to plow into the action? The point of all of this is to be aware of the circumstances around you. It is always always always better to be cognizant of the markets because something could happen at any time. But it is just as important to be aware of this: if there is nothing obvious going on, don’t try to be the first one to create something.

Overnight, markets were up across the board throughout the world with oil down. Decent economic data and strong Goldman numbers should lay the groundwork for a decent open which should hold.

GS- great numbers. Blew out earnings. High in pre-open is 187.25. Looking to buy there post-open and/or an A-B-A2 type play.

LEH/MER/MS- watch to see if they act in accordance with GS

BBY- respectable earnings. Stock traded over 47 this morning as well as negative as well…looking (most easily) for a short thru unchanged and/or an Ab-B-A2 off of the open.

CSIQ- raised guidance. A-B-A2 here

LDK/FALR/SPWR/SOLF/STP- these are mixed with SPWR and FSLR barely higher as a brokerage house said to ‘take profits.’ If CSIQ sells off a little post-open, FSLR/SPWR in particular are shorts thru unch.

TSO- bevy of good news out including reduction in debt. Could be decent thru unch.

VHC- very strong yesterday; if it opens negative and gets positive, buy thru unch (5.70ish).

ENER- extraordinarily strong yesterday on no real news. If it opens negative and goes thru unch (76.90ish), buy thru unch for a very quick trade.

SQM- up on Cramer’s show

CQB- reaffirmed guidance following FDP’s warning yesterday. Looking at A-B-A2 on CQP and a short thru unch on DLP.

Good luck today.