I could argue a case for one more pop, to a slightly higher high, and half a case for a much higher high. I can make about a dozen cases for lower highs and lows for next week or so at least. I don't state any position, it only allows one's ego to get in the way.
you guys must have missed last night's message board - it was totally dominated by all these posters predicting 1400+ by EOY. it was incredible. i wonder where all those people are now? btw, i bought the close because my system told me to. we'll see if it works out.
Then the big dump 1 - 2%... Don't forget that they ALWAYS close out the weeklies with an up and down day.. usually ending with a wipe out of whatever they have sold the most of (calls lately).. See my other posts and we shall see what happens..
I didn't buy because:
1) 4th day in a row major fail against 200 day average
2) Draghi killed off hope of ECB bond buying, which was the whole reason for the rally up into the Europe 'plan' announcement. No one cares about fiscal integration, as that doesn't solve the near term problem, which is:
3) Italy will default by end of January if ECB or IMF doesn't buy bonds as they have $100 billion of bonds to refinance that month - only buyer can be ECB/IMF, but they can't do it unless they print money and buy bonds (QE).
4) With fail on 200 day average, paired with no bond buying announcement, will lead to both technical and fundamental selling at the same time, with few buyers.
Markets are likely to fall a lot before they entice new buyers into the market to try to catch the falling knife. Another -5% at least, more like -10%.
I agree, Draghi was conservative because he knows
more drastic measures are not needed yet, and he
ignores pressure from the equity markets to jump
though their expectation hoops* news out of the
summit will have it's ups and downs but by Monday
SOMETHING constructive will come out of it, and
that's all the equity markets need to rally now.