Goldman Sachs: March 17th, 2009
March 17, 2009 – 8:52 pmHowdy Chasers-
The market is a little too overbought right now for my liking. Likewise, I’ve been following GS very closely. Ever since the gigantic hammer formation on November 21st, 2008, Goldman has been extremely bullish, bottoming out at $47.15 per share in November and closing today at $98.99 per share. Since then the trendline I’ve drawn out has been a bit accurate, coupled with the stochastics. Consequently, I’m going to buy the $90 April puts tomorrow. Sidenote: the trend has been broken by about 5% twice since November so I’m going with a slightly liberal stop around $102 per share.
Happy St. Patrick’s Day, happy bracketing, and happy trading.
-Justin S
6 Responses to “Goldman Sachs: March 17th, 2009”
morgan stanley been following the same trend
By john on Mar 17, 2009
Yeah, makes sense. I’m really bullish on the strong looking financials six months+ from now or so… But as of tomorrow they’re looking like a great temporary short.
By jshade on Mar 17, 2009
It is to be expected John, both are investment firms.
By jmoon on Mar 17, 2009
true ,, goldman on the move if this financial rally continues may even hit near 120 i made the same mistake you did sold goldman with no trailing stop last week after a 20 point move thinking this rally wont last
By john on Mar 18, 2009
I’m still in on Goldman puts. Financials are too overbought and they’ve snuck back into the trend ~$100 throughout today.
By jshade on Mar 19, 2009
ya i noticed this morning when the market opened how overbought they were so i slammed FAZ which was very oversold i have also noticed its very rare SKF dips below 100 near that level it always pops im sure one day for profit taking is not enough and the selling on financials will continue for a few days
By john on Mar 19, 2009