Be careful today- could be a big reversal to the down

Discussion in 'Trading' started by derektrader, Aug 18, 2020.

  1. Things are looking very toppy and extended. Something also feels strange today.
     
    KCalhoun, comagnum and orbit23 like this.
  2. maxinger

    maxinger

    [​IMG]

    we are careful everyday.
    we don't bother whether price is going up or down or up and down.

    and we are perfectly OK with continuation and / or reversal signals.
     
    Last edited: Aug 18, 2020
  3. S2007S

    S2007S



    Bubbling markets !!!!

    Nasdaq going for its 34th historical high today


    S$p new historical highs today

    All while the biggest economic crisis In history is still taking place.


    No worries as the fed will save every tiny microscopic drop with their free money.
     
  4. smallfil

    smallfil

    Individual stocks move independently, of the market indexes. So, no matter what the indexes are doing, it does not affect the trend of individual stocks. A stock is never too high or too low. I got in OSTK at $45, sold it at $50 and now is worth $118.13 (yesterday's close). If you have to exit a stock, have a contingency plan if it goes up instead. Re-entering a stock is always an option.
     
    Last edited: Aug 18, 2020
    murray t turtle likes this.
  5. Trader Curt

    Trader Curt

    Yeah, I notice we are overextended on the rsi on the weekly chart. (At least what I'm in) You don't ever want to be on the wrong side of a massive dump!
     
  6. When stocks fall off a cliff, its hard to escape unless someone is short but that would be luck.
     
    Trader Curt likes this.
  7. Tavurth

    Tavurth

    Nice spot!

    From my charts SPX is getting distributed into on the highs since 6th August. It'll probably drop soon.
     
  8. smallfil

    smallfil

    Big boys (hedge funds, mutual funds, banks, brokers) run the stockmarket. Retail traders do not affect the stockmarket. Trend is still up and it has not run up yet. Big volatility coming.
     
    murray t turtle likes this.
  9. I think stocks MORE than reflect all the good news and earnings. Still no deal with stimulus and you have an election. I think with these huge gains where everyone made their money back and then some since the big decline, funds and big money will take a lot off the table and cash in to be safe. Why wear out their welcome, they got lucky.
    Stocks went parabolic.
     
  10. noddyboy

    noddyboy

    Stocks go up over time. Period.
     
    #10     Aug 18, 2020
    murray t turtle likes this.