how about this nice discreet selloff into the close?

pspr · Mar 11, 2004

Quote from Ditch:

Comes from nowhere? Al Quada claimed the attack in Spain!

And said they are 90% ready for the next U.S. attack.

Maybe Manolo is a terrorist and that is how he knew we were going to exasperate this correction.

illiquid · Mar 11, 2004

Quote from Ditch:

Comes from nowhere? Al Quada claimed the attack in Spain!

"from nowhere" meant the timing of the selloff, not "for no reason".

AQ claiming the attack (which btw is not confirmed at all), in terms of market action, seems to be the superficial reason we reversed the gains. However, I really can't believe that the market didn't consider AQ a possible source of such a large-scale bombing during pre-market, the selloff was timed to that later news item but you think money managers really needed media confirmation to think "omg, it might be al-qaeda!! Let's sell."?

I guess what I mean is that there's more out there besides possible terrorist activity for a reason to sell, we've lived (and the market rallied) under the shadow of that for a long time now.

Walther · Mar 12, 2004

Quote from praetorian2:

Hey,

Thought I'd give you an update. Scalped a little over 1% of SMH volume today. Had a good time. I covered my short SMH at .75 and relonged there MOC. Don't have a lot b/c dont know how they'll spin this bombing.

Technically speaking there should be selloff at 13:30 level but as you said, it all depends on news .

praetorian2 · Mar 12, 2004

Out all smh longs for a half. This is fun.

praetorian2 · Mar 12, 2004

Putting out some small shorts all over the place. Tight stops though.

pisspotpete · Mar 12, 2004

Go get 'em P2!!!

You da MAN!!!!!

praetorian2 · Mar 12, 2004

Quote from pisspotpete:

Go get 'em P2!!!

You da MAN!!!!!

LOL

I'm starting to push this short. Upgrade city in the AM and the bulls couldn't even put together a rally on the open. Stops at the highs and short at will!!

waggie945 · Mar 12, 2004

But then again, the first "opening" rally after a steep decline, always fails.

Ka-Ching!

Steelhead · Mar 12, 2004

your a fountain of market knowledge!

waggie945 · Mar 12, 2004

Floor traders, especially in the stock-indexes always sell the opening gap up after a steep sell-off on the previous day.

More often than not, the entire gap gets filled and then some as the negative downside momentum comes back into the market.

In a bull trend, the upside gap proves to be a whole different animal . . . with some gaps just trading sideways, and never getting filled, only to explode upward again after about 10 minutes of treading water.