GOOG actually looks like it could setup long on the daily. If you take a look at the weekly chart we had MAF action up here near ATH. Taking a look at tech we've seen some rotation coming into play with INTC and MSFT catching a bid. The price action all in all is actually not that bad I could see it going +3 off that quarter a down failure. Just my look at things...so FWIW.
The ACD Method
- Thread starter sbrowne126
- Start date
GOOG actually looks like it could setup long on the daily. If you take a look at the weekly chart we had MAF action up here near ATH. Taking a look at tech we've seen some rotation coming into play with INTC and MSFT catching a bid. The price action all in all is actually not that bad I could see it going +3 off that quarter a down failure. Just my look at things...so FWIW.
Let me drop in for a sec here. I just wanted to comment on this perpetual bull move in stocks. While many here are amazed that stocks continue to climb higher without correcting, let me offer my thoughts on why stocks are not correcting. I have to admit, I am shocked to see this but nobody is really long this market. At least not based on the sentiment polls.
I watch this one like a hawk.
http://www.aaii.com/sentimentsurvey
The fact of the matter is, market tops are put in when people are actually bullish. And for weeks on end these surveys have shown a majority of the people out there bearish. This is why the market is not correcting. We need to see this survey capitulate and everyone get bullish.
The other thing I love to watch which I have talked about endlessly on here is the ISE index.
http://www.ise.com/market-data/isee-index/
We are starting to see some spikes finally on the call side. I would really like to see something near 300. But it's all relative. The index has been sitting around 100 or so for awhile so the 200 reading we got today and the one we got last week are interesting to watch. BTW, I like to look at the equity reading, not the all securities one. What a 200 reading shows is that calls over puts, buy only, are trading 2 to 1 on the open transaction. This index is frighteningly reliable guys. Watch it!
I watch this one like a hawk.
http://www.aaii.com/sentimentsurvey
The fact of the matter is, market tops are put in when people are actually bullish. And for weeks on end these surveys have shown a majority of the people out there bearish. This is why the market is not correcting. We need to see this survey capitulate and everyone get bullish.
The other thing I love to watch which I have talked about endlessly on here is the ISE index.
http://www.ise.com/market-data/isee-index/
We are starting to see some spikes finally on the call side. I would really like to see something near 300. But it's all relative. The index has been sitting around 100 or so for awhile so the 200 reading we got today and the one we got last week are interesting to watch. BTW, I like to look at the equity reading, not the all securities one. What a 200 reading shows is that calls over puts, buy only, are trading 2 to 1 on the open transaction. This index is frighteningly reliable guys. Watch it!
One more thing. One of the last trades I talked about on here was the 30 day confirm on bonds on April 4th at 146. I mentioned at the time if you just had to try to short this market, go with the number lines! Get long bonds vs short spoos. Spoos were trading 1554 and bonds were 146. You are 2 1/2 handles in the money on your Bond (short risk asset) trade and 35 handles out of the money on your spoos short. That is why you pay attention to the number lines.
Even better short was Copper, also a number line trade.
If you want to get short, don't just default to selling the spoos, use your number lines and look for something that is actually WEAK!
Even better short was Copper, also a number line trade.
If you want to get short, don't just default to selling the spoos, use your number lines and look for something that is actually WEAK!
No, they are two different things. One is a sentiment survey. It asks financial advisors how they "feel". Most of them ARE long yet ARE bearish. They are long because it's their job to be long but asking them how they feel is still important. They accurately represent the investor population.
The ISE index is different. Think of it as a lottery index. These are NOT investors. They are gamblers. They are call buyers. Non market makers and opening only transactions. These people are betting on "magnitude". They more accurately represent the high flyer chasers. If you are buying calls, you are not bullish, you think something is going to pop. So I think they measure two very different markets. Think of one as your grandparents and the other as the grandchildren.
Mav educational as always. Best wishes for a quick recovery from whatever you are dealing with.
Speaking of investor sentiment, I just discovered this at TD Ameritrade.
https://imx.tdameritrade.com/IMX/index.jsp#
It tracks the holdings of all their clients and creates an index so you can see how long they are getting.
https://www.tdameritrade.com/research/imx.page
https://imx.tdameritrade.com/IMX/index.jsp#
It tracks the holdings of all their clients and creates an index so you can see how long they are getting.
https://www.tdameritrade.com/research/imx.page
