The Market didn’t go straight up today because the news wasn’t that jarring but we did gap up right into resistance and then rolled off from there. Here’s some pictures of this in the indexes:

Check out this VXX, which is doing the same thing, but inverted.

I can’t justify going long the market at these levels and honestly, the size of the gap between Friday’s close and Monday’s open has me worried because there isn’t any resistance in this area. I’m a short term bear given this and I like VXX but I’m not going to buy it at a bad price.  The goal is to sell into Friday’s low of $34.24, so I just won’t buy if the market gaps down in the morning and VXX shoots up.

Futures are red right now, which may mean that we’ve again missed the move. Don’t chase it and keep a stop tighter than usual if you decide to buy! My ideal trade would to buy in at $32.50-$33.00 and sell at $34.15. (Stop @ ~$31.5)

Note: Wednesday is a national day of mourning due to the death of President George H.W. Bush. This means that volume may be lighter than normal this week even though we have 2 more trading days in the week.

Another Note: This is a day trader’s market. I will more seriously consider taking some profit before the close just to avoid holding overnight.