UPDATE 11:00am EST: So, right at the open we cut through the 890/86 RL like a hot knife through butter. I think the important lesson learned here is that RL percentages lose a bit of their luster during holiday weeks. I’m not complaining mind you – 900 is in reach right now and I couldn’t be happier. Give me 20 more points, Santa, I’ve been so nice naughty all year, after all! What? I have to wait another year now? Craaaaaaaapppp!!!!
Otherwise I have not much to report – I would recommend keeping your exposure small. Yes, I know I sound like a broken record and we have rallied quite a bit since the 850s but let me remind you all that we’re [...]
Contrary to popular opinion today’s tape turned out to be very productive. I bet the weekend bears were already lining up at the will-call counter for the expected joy ride into the abyss. I have to admit, even I was sweating yesterday afternoon when I saw the NDX only one point away from thrashing the entire wave count (the December 12 low). I don’t think I have ever been so happy to watch those black boxes kick into gear and hold the 855 support line which is now firmly established. Those cheeky monkeys – at least they had the courtesy to program their trading bots to ‘hold the fort’ so to speak while they’re out of town blowing their taxpayer [...]
UPDATE 10:06am EST: I have to say I have mixed feelings this morning. On one hand I’m happy that we’re pushing up as this leaves us with a glimmer of hope that we’ll see higher prices before the inevitable big drop. But I’m also getting a bit frustrated with a market that cannot stay in one direction for more than one day. Maybe the smart thing is to refrain from trading until January 5th – I’ve kept my exposure very small until now which was the right decision based on some of the comments I see floating around here and on the slope.
The markets right now are going wherever the market makers want it to be. Yesterday the NDX turned on a dime [...]
Yawn… Another day at the markets, and again, not much has changed… As Mole pointed out in the last part of the update, open @ 869 ; close @ 869… If you made dough in between, then great. If not, staying in bed would have been the wiser choice. Alas, we are back at work, and it is actually getting pretty exciting…
One thing is certain though, stock have not been moving higher, at least not for the past week or so. This doesn’t mean that we are “going lower,” just that we aren’t “going higher” (i.e. stagnation and/or loss of momentum). I have said this about the markets 3 times in the decline (now being the third), [...]