Gotta love ZERO RISK in the SP500 = $$$

This smells like distribution, or the transfer from strong to weak hands.

The index futures make it so easy to unload at excellent prices, the specialists get a free mark up every day that to the futures.
 
Quote from makloda:

Like all those weak hands that bought in Oct/Nov? :D
More...


At some point the game is over, are we their yet, I have know idea, but I do know we have run 1200 points in 7 week in the Dow.

These ramp up overnight on thin volume in the futures, then selling not long after the open smells.
 
Oh boy the panic!!! Too many pessimists, too many heavy in puts or net short, too many bids underneath the market of people who are dying to get into the "rally"...
 
Quote from myminitrading:
These ramp up overnight on thin volume in the futures, then selling not long after the open smells.
More...
Look at previous sharp runups (Summer 2003).

a) They last longer than anybody anticipates because too many think it went way too high and expect an immediate 10% overnight drop any day while they are net short or heavy in puts

b) They don't usually reverse 180 degrees and go straight down to where they came from. Usually you see a base building on a high level in a couple % trading range with the indexes churning sideways for a while.

I know this is goes against everything our gut and emotions tell us but market's tend to go against human wisdom. Markets are designed to be that way.
 
that was an ultimate dip....


whew, thought the dow was headed for 13300 and then out of no where the money came pouring in to keep the dow up.
 
Makloda, with all due respect the posts seemed to have flipped here as we sputter around. There were alot more people negative a month ago here than there are now. Granted it is the same people who cheerlead, but I sense people are trying to get IN not OUT. I still think the spoo will wheeze its way to a new high, but after that?
 
Quote from frank grimes:
Makloda, with all due respect the posts seemed to have flipped here as we sputter around. There were alot more people negative a month ago here than there are now. Granted it is the same people who cheerlead, but I sense people are trying to get IN not OUT. I still think the spoo will wheeze its way to a new high, but after that?
More...
Well between you and I .. I dont really care where the market goes as long as it goes somewhere. I just don't understand all the crash predicting when there's so much negativity and disbelief abound on every 3 point drop in the ES people run into puts.

Yes the R2000 looks vulnerable and A/D is a joke. Too much money chasing just mega cap stocks right now. But we had this before (Oct/Nov) and we didn't tank 35% the next day.

Always good to be cautious but no reason to be apocalyptic. Geez we're up like 6.5% on the year how are we going to crash 90% tomorrow?
 
Quote from makloda:

Look at previous sharp runups (Summer 2003).

a) They last longer than anybody anticipates because too many think it went way too high and expect an immediate 10% overnight drop any day while they are net short or heavy in puts

b) They don't usually reverse 180 degrees and go straight down to where they came from. Usually you see a base building on a high level in a couple % trading range with the indexes churning sideways for a while.

I know this is goes against everything our gut and emotions tell us but market's tend to go against human wisdom. Markets are designed to be that way.
More...


I totally agree, and I feel we are seeing that this week, the 100 point swoons.
 
You must log in or register to reply here.
Back
Top