You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an alternative browser.
You should upgrade or use an alternative browser.
By How Much Is The Market Oversold Right Now?
- Thread starter shortie
- Start date
DOW/SP500/EURUSD weakness and USD strength continues.
More equity downside expected. Last futs 11,995
Prepare for the next Black Swan CRASH which will be "unexpected and could never have been predicted"
http://stockmarket618.wordpress.com
[Warning: Nine_Ender is an unbalanced internet stalker who requires professional help]
More equity downside expected. Last futs 11,995
Prepare for the next Black Swan CRASH which will be "unexpected and could never have been predicted"
http://stockmarket618.wordpress.com
[Warning: Nine_Ender is an unbalanced internet stalker who requires professional help]
Quote from tradingjournals:
3:37PM (QQQ): Is the Fed-news selling done? QQQ at ~ the day's low + 0.01
3:55PM: It went a bit lower. I have a feeling this might be a trap for bears.
What do you think guys?
too early, we had a dump overnight.
one thing you are right about is QQQ strength. right now it is flat, while SPY -1.1%!
Quote from dumb_mother:
don't you mean how overbought is the market?
Alexander Elder in Trading for a Living points out that the market is a mass of people. So, when you ask how much the market is overbought/oversold, what you're really asking is how much money do investors/traders have available to buy more stocks with? This is a difficult question since there are at least 5 different gropus of people who make up "the market." Day traders move very quickly from having no buying power to having all of their buying power again. Swing traders go through that process a bit slower, and on the other end of the spectrum, long term investors slowly grow their liquidity through their job or dividends.
My opinion of the matter is that the longest two groups, made up mostly of investors, are not oversold, but overbought. They're running out of buying power as the cost of a single share rises. Day traders and swing traders operate on such short cycles that it doesn't really matter on a daily chart. So, the important group is the moderate-term trader (trades 1-3 months, not sure their technical name), the middle group of the five that make up the mass of people often referred to as "the market." They are approaching oversold at this point which is why I believe the market will likely bounce one more time off of the 200 day moving average.
It seems to me that the market indices may be also be affected (more affected?) by other markets such as currencies.
EUR/USD is at 1.4317 currently. I want to see it clear 1.44, which is only 0.5% higher if a bull leg were to develop, but I would not be surprised if (and I am actually inclined to think that ) the buyers may start to appear less and less in numbers in next higher 80 pips. If a retreat were to take place, a good question would be what would the futures do? If I have to expect something, it might be something like a retreat of some sort later this evening/tomorrow, then a rise tomorrow and then the real test?
EUR/USD is at 1.4317 currently. I want to see it clear 1.44, which is only 0.5% higher if a bull leg were to develop, but I would not be surprised if (and I am actually inclined to think that ) the buyers may start to appear less and less in numbers in next higher 80 pips. If a retreat were to take place, a good question would be what would the futures do? If I have to expect something, it might be something like a retreat of some sort later this evening/tomorrow, then a rise tomorrow and then the real test?
The market roughly doubled off of the lows set in early 2009. The market retraces single digits and "Shortie" posts a loaded question and gets a bit ruffled if anyone challenges the illogical nature of the question.
Kind of reminds me of "Nine-Ender" who never saw a chart that was anything but bullish.
Kind of reminds me of "Nine-Ender" who never saw a chart that was anything but bullish.
Quote from tradingjournals:
It seems to me that the market indices may be also be affected (more affected?) by other markets such as currencies.
EUR/USD is at 1.4317 currently. I want to see it clear 1.44, which is only 0.5% higher if a bull leg were to develop, but I would not be surprised if (and I am actually inclined to think that ) the buyers may start to appear less and less in numbers in next higher 80 pips. If a retreat were to take place, a good question would be what would the futures do? If I have to expect something, it might be something like a retreat of some sort later this evening/tomorrow, then a rise tomorrow and then the real test?
She did it according to the book! A retreat of 80 pips from 1.4320, and then a rise.
Now at 1.4353. Let us see if she will stall, retreat, or pass the test. Things seem to depend on guys who draw lines, where they draw them, and where they place stops.
e/u within 3 pips from 1.44. If this is the end of today's e/u short covering, would it be felt in the stock market? It is 10:46AM in forex.