SPX has come down to 1270 area 6 times since Jan 22 nd 2008. Count the red candles on the daily chart...How many times it will retest the lows? You know something? It stops on a dime when does comes down. Those jokers on Wallstreet will not cook their golden goose. They know when enough is enough.
You cannot scare investors when SPX is a weekly visitor to the lows around 1270 area. The fear factors is gone.
The only reason the market has repeatedly passed testing the lows is lack of conviction from institutional traders (no real volume). Eventually we will get confirmation, but it might be toward a new low. Next week s/b key. But I do not provide "predictions". When/if support is broken however, I will increase my shorts. pS
Bear markets canlst longer then 2 years. This thread and forum has zero imp act on anything. You say the market didnt sell off friday? LOL The down down 200 ish, the naz comp down 50 and the SnP cash was down 27ish, but thats not a sell off? As far as the OTM call volatility, well then I guess you've not been around long enough to have seen this sort of stuff. When you're short vol and you have to find some vega somewhere then you end up buying the out of the money calls, thats how they get this high. A better indication is where they're trading vs the OTM put and the ats not just looking at the otm calls on an island.
I agree for the most part, looking at volatility its not setting highs on each visit to the 1270 area. Which is just confirming what you said, in that people are not as neavous each trip there.
No bear market unless the spooz closes below 1252. Subjective definitions of bear markets don't count. The media hasn't called it a bear market yet. There won't be a bear market either except the imaginary permabear created one.
I agree. Unless SPX closes below 1252 we have market correction. Unless we have 2 negative quarters of GDP there is no recession. Rest of it is speculation, fortune- telling, doom and gloom, and outright pessimist approach to life. This constant meddling with doom and gloom is a by product of an unhealthy mind. It does nothing constructive. Than on top of that people on this forum are constantly fighting the FED! I mean what a bunch of yoo- yooos ! Who has won fighting the FED ?
There won't be a recession either unless we have 2 quarters of negative GDP. Rest of it is imaginary recession,doom and gloom and depressive psychotic delusions.
Thank you for your comments. Thats why you donot see a spike in VIX as high as it was in August 2007. SPX trolls down here at this 1270 area every week. Its a common occurence. The support is very reliable.