SPY Gap – Yet to Close

The gap from 7/30 has yet to close, so again not much has changed with my short-term outlook. I still think the market will decline to close the gap before any meaningful advance occurs.

Also, The Iron Condor discussion that I have promised over the past few days is currently in the works. I hope it will be worth the wait. Until then I will be sitting back and waiting until another extreme is reached.

Overbought-Oversold levels for August 9, 2009

ETF Extremes Options Trading Strategy

* S&P 500 (SPY) – 62.4 (neutral)
* Dow Jones (DIA) – 67.5  (neutral)
* Russell 2000 (IWM) – 62.9 (neutral)
* NASDAQ 100 (QQQQ) – 60.5 (neutral)

Other ETFs

* Ultra Long (SSO) – 61.6 (neutral)
* Ultra Short (SDS) – 34.4 (neutral)