Posted by ndtrade123 on 17th of Mar 2009 at 05:55 pm
I remember an nightly analysis that Steve did last week. I
think it's last Monday's just before the market rallied. In
that analysis, he kept repeating himself - "oversold market does
not mean a buy signal. Do not..I repeat...do not try to
pick a bottom." Well, even with 5 days overbought condition,
it does not mean a short signal. The market was oversold
foreverin Jan and
Feb. Can this market keep moving up without a pull back?
Posted by junkmaylbox on 17th of Mar 2009 at 06:04 pm
No, it must reverse. However, there is a lot of buying pressure
now so that only strong resistance would be a point of reversal.
Pullbacks are being bought relentlessly. this reminds me of a
fabulous run of $wtic last Spring and Summer till an outside event
busted the rally. A lot of funds are trying to make up losses from
last year, it seems.
Posted by ndtrade123 on 17th of Mar 2009 at 06:13 pm
Exactly...what outside event could that be? We've heard
basically as bad of news as anyone can bear in a century.
Even depression was mentioned constantly for a while. I think
the market will keep going up until people realize the earnings do
not match the price. Actually it's already not going to match
the price, but people don't care right now. It's a bear
market rally.
Posted by junkmaylbox on 17th of Mar 2009 at 06:20 pm
Then it would be a very strong resistance. For crude oil, 150
was a big number. For $SPX 800 might be such a number. So this
advance will top at 797 :-)
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I remember an nightly analysis
Posted by ndtrade123 on 17th of Mar 2009 at 05:55 pm
I remember an nightly analysis that Steve did last week. I think it's last Monday's just before the market rallied. In that analysis, he kept repeating himself - "oversold market does not mean a buy signal. Do not..I repeat...do not try to pick a bottom." Well, even with 5 days overbought condition, it does not mean a short signal. The market was oversold foreverin Jan and Feb. Can this market keep moving up without a pull back?
No, it must reverse. However,
Posted by junkmaylbox on 17th of Mar 2009 at 06:04 pm
No, it must reverse. However, there is a lot of buying pressure now so that only strong resistance would be a point of reversal. Pullbacks are being bought relentlessly. this reminds me of a fabulous run of $wtic last Spring and Summer till an outside event busted the rally. A lot of funds are trying to make up losses from last year, it seems.
Exactly...what outside event could that
Posted by ndtrade123 on 17th of Mar 2009 at 06:13 pm
Exactly...what outside event could that be? We've heard basically as bad of news as anyone can bear in a century. Even depression was mentioned constantly for a while. I think the market will keep going up until people realize the earnings do not match the price. Actually it's already not going to match the price, but people don't care right now. It's a bear market rally.
Then it would be a
Posted by junkmaylbox on 17th of Mar 2009 at 06:20 pm
Then it would be a very strong resistance. For crude oil, 150 was a big number. For $SPX 800 might be such a number. So this advance will top at 797 :-)