Posted by jdaswani on 18th of Jan 2011 at 05:13 pm
After being bullish for almost 6mths, and net long for the past
3 mths I think this markets getting to point of extreme optimism. I
dont post on here often but I do monitor the site closely. Many of
you are exceptional traders. I on the other hand view my self as an
oportunist looking to make money in any market, which of late has
been long.
I posted on Friday that we saw closes outside of the BB bands on
some key indices and in turn we closed back inside the band today.
Will todays signal work? Who Knows.
Point of this post is that we are aproaching extreme levels.
Could we go on, absolutely. I choose to look at 1 stock only this
evening, AAPL gaps open to $355 (up 14 or 4%) on a 20% beat to eps.
Since than the stocks up 5.75 or alittle over 1%.
If AAPL is like the market it tells me that we are getting close
to a correction as the stock would be down 3.40 (if Jobs news wasnt
announced).
Buy the rumor, sell the news? I for one am adding some shorts
and raising cash. For better or worse.
I think you're right -- that's what I was saying this morning,
that there really are no bears left. Its a unique
experience. And even the bears are expecting only a
correction before new highs. Its interesting to experience it
because it doesn't happen often that sentiment is so
extreme.
Posted by marketguy on 18th of Jan 2011 at 08:09 pm
I've been thinking for over two weeks that we are never
going down again...that must mean something too....(or of course,
this will be the one time I'll be right!)
Observations
Posted by jdaswani on 18th of Jan 2011 at 05:13 pm
After being bullish for almost 6mths, and net long for the past 3 mths I think this markets getting to point of extreme optimism. I dont post on here often but I do monitor the site closely. Many of you are exceptional traders. I on the other hand view my self as an oportunist looking to make money in any market, which of late has been long.
I posted on Friday that we saw closes outside of the BB bands on some key indices and in turn we closed back inside the band today. Will todays signal work? Who Knows.
Point of this post is that we are aproaching extreme levels. Could we go on, absolutely. I choose to look at 1 stock only this evening, AAPL gaps open to $355 (up 14 or 4%) on a 20% beat to eps. Since than the stocks up 5.75 or alittle over 1%.
If AAPL is like the market it tells me that we are getting close to a correction as the stock would be down 3.40 (if Jobs news wasnt announced).
Buy the rumor, sell the news? I for one am adding some shorts and raising cash. For better or worse.
Good Luck & Happy Trading
JD
I think you're right --
Posted by Michael on 18th of Jan 2011 at 08:03 pm
I think you're right -- that's what I was saying this morning, that there really are no bears left. Its a unique experience. And even the bears are expecting only a correction before new highs. Its interesting to experience it because it doesn't happen often that sentiment is so extreme.
I've been thinking for over
Posted by marketguy on 18th of Jan 2011 at 08:09 pm
I've been thinking for over two weeks that we are never going down again...that must mean something too....(or of course, this will be the one time I'll be right!)
Totally agree
Posted by skyscraper on 18th of Jan 2011 at 07:51 pm
I am shorting for any coming ER report (GOOG maybe exception). If miss like C or CREE, down HARD! Risk/reward really good.