I think the market is oversold in the short term and will rally to close up 6 points. Let me know what you think the market will do tomorrow and why. I would especially like to hear from the great market guru himself, market kibbles. Time for you to show the board how smart and bold you are.
"Oversold" and "overbought" mean very little when the market isn't trading on fundamentals. The market is oversold in that *any* drop is an overreaction to a market that ought to be going straight up because of Fed intervention and foreign money looking for better returns. RSI indicates it's overbought, but it's been overbought almost the entire year and may continue to be overbought for may more months as it reaches new highs.
The market may go up this week, or it may go down a little. The only sure thing is that VXX will go down.
That's a really tough call at this point. The trend appears to be up, but it could change at any moment. Many trend reversal indicators are in place. It is extremely risky to be in stocks right now, even for a short term trade. The best bet, would be to do something else completely unrelated to stocks. Look away....It's Hideous!
You sort of remind me of the mindless in 1999 saying " you just don't understand internet stocks " yes I know they are 80 to 1 PE but thats " normal " its the classic loser STAY IN until you lose it all .
We are now in a liquidity driven market; as long as there is money available there is no better place to invest it than the stock market. Those trading the market on fundamentals are losing (at least in the short term) as the market will continue to churn higher with the increasing (and excessive) levels of liquidity. Right or wrong, the markets do not care, they simply react to whatever stimulus has the greatest impact.
At some point either fundamentals will catch up or the value of the dollar will dramatically decline or both. Regarding the later point, I am of the opinion that the Money Masters will not allow precious metals to substitute for the dollars inflation value. Welcome to the new world financial order.