Today's action was easy to see. Friday at 3.86 was the target sell price. If you had sold you would be in cash.
What next? The 50% Fib retracement from the 2007- High is DJIA 7916. Today we failed to hold it. A confirmation day on volume will reverse this mini rally quickly. You have two ways to play it. One hope this closes above 7916 and go long or go short, if we dont rally back above 7916 in the next 3-4 days.
MS earnings come out but I dont think they or the rest of the earnings will help lift it, so my play is to slowly move into shorts again and stay in cash. My bet is I will be short again by next weeek.
URE next target is $2.19. Time to test that bottom. Good luck traders!
please seek your own so called qualified expert. hahahaha
Gold had a nice double bottom at the 200day ma, but today's volume was not very impressive. Maybe in a day or two when panic selling cranks up in stocks. FWIW, gold is entering a period of weak seasonality during the summer. But that's during "normal" times. ;-)
I think we are overbought. I think we will move lower (from yesterday's closing price.)
We could test the lows and/or go lower, and I think we will move lower assuming we close today below DJIA 7916. What am I looking for? I want another day where we drop over 2% on the S&P with average volume in the next 5 trading days to confirm my trade.
Longs should not be buying this dip yet. Reits foreclosures rising. I am seeing lots of earning misses, futures lower. Dupont 1st quarter profit falls on weak demand, etc... I will entering shorts today and letting them ride assuming we dont close above 7916 today. :P
89.2% of S&P on April 17th above 50 day MA. Longs will cling to a drop to 70%, a break below that will break the hopes they have!
Let the Bear picnic begin! Where is my ole virginny! Muahahaha