A 228.44 downside target I’d sent out the night before caught Thursday’s V-shaped low precisely. I’d proffered trading instructions as well, enabling some subscribers to buy call options at the exact bottom of an 846-point Dow rally.  Those who reported getting aboard in the Rick’s Picks Trading Room used different strategies, so I did not establish a tracking position. However, using the ‘rABC’ entry tactic I’d explicitly advised could have produced a gain of as much as $34,000 on four round lots. Those who bought options instead would have doubled their money easily, although some of the expiring out-of-the-money calls traded for as much as seven times what they’d fetched in the early minutes of the session.

I put DIA back on the touts list because some subscribers who follow the broad averages were keen to trade an equity-based vehicle rather than E-Mini S&P futures. The opportune timing of DIA’s return to the list was not a coincidence. I had dropped it for a while because it went all boring on us, but brought it back in conjunction with bearish developments earlier in the week. If you are among those who said they wanted DIA back on the list, I’d suggest tuning to the chat room and monitoring my tout updates diligently to make the most of it. Speaking of which, DIA is bound for a minimum 237.59, whence you can expect a tradeable pullback. I am not putting out a trade a day in advance, however, since that Hidden Pivot resistance coincides with  a technically important peak at 237.50 that unfortunately will attract all the yo-yos. Here’s the chart. ______ UPDATE (May 15, 8:39 a.m. EDT): Forget the chart, since index futures are down sharply ahead of the opening — sufficiently so to take out the point ‘C’ low of the target pattern. Perhaps the other shoe has dropped?