Another great call by Mr. O'Brien

It looks like the pullback has begun. So what did I do today?

First, I sold out of DIOD at 43 this morning. It was lagging and considering the action today I really didn't feel like holding on to it during today's earnings announcement. It turned out to be a good decision. DIOD tanked later in the day and didn't bounce very much after it reported great numbers.

AllianceBernstein (AB) hit a new 52-week high and then backed off slightly. I really like the way this one is acting. I will hold onto this one and will probably add more shares if the market weakness brings it down.

Flotek Industries (FTK) What can I say about this one. I've been through hell with Flotek and certainly won't be shaken out with a little market weakness.

I was one click away from buying some qqqq March '07 puts at the 44 strike price. I probably should have but just didn't have the guts. If the market opens up big tomorrow I still might make the trade.



Instead of buying puts I decided to buy some of the gold ETF (GLD) as a hedge against the market decline. Why? Check out the chart. Gold broke out of a symmetric triangle pattern. Also, 'ol Tom O'Brien has been preaching about gold for a long time and today looks like a great entry point.