Discussion in 'Trading' started by Babak, Jul 30, 2007.
I think the financial sector will bottom here.
The chart peaks and valleys correlate very closely to the sentiment index. Wait for the sentiment index to get below 20 before nibbling on those shares.
I would disagree with that. It does seem like there is a large amount of attention around the financials and where they go, the market likes to follow, but given that once there is more chatter in regards to credit issues it's going to put more pressure on the financials. I wouldnt trade these so much on a technical basis. Risk is too high for now in the credit market and has too large an impact wheather realistic or just emotional trading in the financials. Everyday an analyst comes out with some bull excuse either in favor or against what's going on with subprime/credit derivatives markets to justify the transactions. I'm not one to pick bottoms. Although I think the market is oversold and the last few days were just a bunch of scared investors not knowing what to do, too much risk there.
my 2 cents.
Like anyone cares....
just curious, if not using technical basis, how would you trade these? or just step aside until things clear up?
iow the opportunity is gone?
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