guys - it's not all the FED, well they started this but here's
what I keep preaching. Too many people are looking for the
top. I just talked to a financial advisor I know, he's a typical
adviser with a local office with probably 100 accounts mostly
mom/pop families who generally buy and hold. These are people who
typically ride 10% corrections down without a concern.
Yesterday he got a call from 5 of his clients (these are mom/pop
not traders, not sophisticated) they talked to him yesterday all
concerned about the market asking: should we lighten up, the market
is very overbought etc.
You have laymen, mom/pops, everyone getting bearish on an
instant!
that's not how stops form. You need these people to be
complacent and not concern when the market has tiny
pullbacks.
so while the FED started it - all these people who genearlly buy
and hold but are now getting hyper bearish on a dime - they are the
ones who continue to fuel this market.
anyway short term nice rally off the lows, the correction from
yesterday has been corrective/choppy and not impulsive so it's a
correction in an uptrend. that said it's too early to call that
it's over, We could have a wave A down and this a wave B up lower
higher then one more pullback or go sideways and form a triangle.
We have almost filled today's open gap now
otherwise zooming out, the main support is the uptrend lines I
showed on the 60 min and 120 min charts, they have not been broken
at this time. Let's see how the rest of the day unfolds, especially
the afternoon.
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Powell is hard on the
Posted by ssaffer on 23rd of Jan 2020 at 01:23 pm
Powell is hard on the buy button now.
guys - it's not all
Posted by matt on 23rd of Jan 2020 at 01:46 pm
guys - it's not all the FED, well they started this but here's what I keep preaching. Too many people are looking for the top. I just talked to a financial advisor I know, he's a typical adviser with a local office with probably 100 accounts mostly mom/pop families who generally buy and hold. These are people who typically ride 10% corrections down without a concern.
Yesterday he got a call from 5 of his clients (these are mom/pop not traders, not sophisticated) they talked to him yesterday all concerned about the market asking: should we lighten up, the market is very overbought etc.
You have laymen, mom/pops, everyone getting bearish on an instant!
that's not how stops form. You need these people to be complacent and not concern when the market has tiny pullbacks.
so while the FED started it - all these people who genearlly buy and hold but are now getting hyper bearish on a dime - they are the ones who continue to fuel this market.
The uptrend is still strong
Posted by ssaffer on 23rd of Jan 2020 at 05:00 pm
The uptrend is still strong and showing no signs of deterioration yet. Earnings season will tell us more.
anyway short term nice rally
Posted by matt on 23rd of Jan 2020 at 01:52 pm
anyway short term nice rally off the lows, the correction from yesterday has been corrective/choppy and not impulsive so it's a correction in an uptrend. that said it's too early to call that it's over, We could have a wave A down and this a wave B up lower higher then one more pullback or go sideways and form a triangle. We have almost filled today's open gap now
otherwise zooming out, the main support is the uptrend lines I showed on the 60 min and 120 min charts, they have not been broken at this time. Let's see how the rest of the day unfolds, especially the afternoon.