How Do We Nail the Bottom?

Discussion in 'Trading' started by netedge, Oct 19, 2008.

  1. I'm going to have to agree with you on this one. People around here are tightening - large. The malll in the wealthy neighbourhood is sleepy. There seems to be a general gloominess around. Alot of wealthy baby boomers I know of are already down 30-40%. They haven't even received their OCT statements yet.


    That said there are some incredible trading opportunities for us short-term traders. I don't know about you guys, but i'm starting to love this bear market.

    The very fact that we are living through it is incredible. And the fact that we have survived and are able to trade is even better.

    So as bad as it may get, I'm still optimistic when I wake up in the morning in anticipation of the opening bell.
     
    #61     Oct 22, 2008

  2. imho that's his words
     
    #62     Oct 22, 2008
  3. Paulson & ben time for another bailout.
     
    #63     Oct 22, 2008
  4. netedge

    netedge

    There seemed to be a good number of folks here saying we have bottomed out over the last few days. Meanwhile, I see a SPX at 913 and a VIX at 62. THAT doesn't sound like a bottom is put in to me.

    The low of 839 is only 8% away so it seems very likely a retest could be in the works. Still looking for the VIX to drop below 40 and haven't seen that yet. So to me, it looks like we're awaiting a retest of 839ish. If it holds, we've likely seen a bottom. If not then bombs away and we go to 768 (2002 bottom) from here.
     
    #64     Oct 22, 2008
  5. S&P breaking 800 doesn't seem like a bleary eyed nightmare anymore...
     
    #65     Oct 22, 2008
  6. market isn't down that much. 3% loss can easily be recovered. Seems like everyone is forgetting the one-day 11% rally.
     
    #66     Oct 22, 2008
  7. netedge

    netedge

    Another amazing day. We held above the trendline that traces the lows of 10/10 and 10/16. But not until we penetrated it by 3% in the afternoon.

    The strong finish to the day caused it to hold just ever so slightly above the trendline. If we open positively tomorrow I would take that as a relatively bullish sign.

    The upper trendline from the highs of 10/14 and 10/21 is still in place. We would have to penetrate today's high sometime tomorrow to penetrate that trendline to the upside. I find it really interesting we held above the lower trendline today on such a violent down day.:confused:
     
    #67     Oct 22, 2008
  8. s&p made new closing lows by a small amount.
     
    #68     Oct 22, 2008
  9. the 11% rally was a bear market rally otherwise called a bear trap suckers rally to lure in idiots such as yourself.

     
    #69     Oct 22, 2008
  10. "How do we nail the bottom?"

    This is very easy to do. Keep averaging down till you exhast your BP. The market dips some more, you get a margin call and liquidate everything. This IS THE BOTTOM!
     
    #70     Oct 22, 2008