Is the rally real or smoke and mirrors

Discussion in 'Trading' started by myoffices, Nov 16, 2009.

  1. Its a 52 week high and the names are all moving. Is it portfolio dressing or is it compulsion buying. Im not convinced that this market is real. Its no fundamentals involved here at these levels. There is a great level of consumer credit lines being pulled and they will impact the market in the spring.

    Don't be fooled the market is not telling the whole story. Guidance was lowered to meet numbers but we are growing too fast to quick. There is no net inflows for investors this year to speak of.

    beware that Wall street will trade the market to get their bonuses. Its a bonus trade. I think its a fake rally. Im still buying the UYG and the DBO indexes.

    Get your myoffices app on the iphone--- Selfless plug..
  2. Your comments sound like they could have been picked right out of the forums of late 2003.

    You can't get more real than what is actually happening right in front of your eyes.

    Don't worry about the whys, focus on the what is happening.
  3. so what is happening?

    stocks grow? how about measuring in Australian dollar?

    no inflation, 10 treasures 3%? how about oil doubled since last year?

    recovery, GDP 3.5%? how about unemployment?

    I don't have any other ideas except moving money as farther from US as possible, but bubble grow everywhere by a minute

    so what's happening?
  4. Confusion is not good in our business. It can go either way. we could go back to 14000 by 2010 and then go back to 7000. These are the acid reflux and ulcer days. I wonder who makes prevacid and tums.
    I think pharmaceuticals will do well after the stress takes its toll.

    I think the fundamentals are still not secure in many companies and there is another downside potential here. Im pessimistic here and I am not comfortable. Its been a nice run. I want to know what you think.
  5. lindq


    I think you should stop trying to figure what might be...and deal with what is. :p
  6. Redneck



    I agree with this Gentleman Sir

  7. In 2003 credit was exploding as were earnings, now the opposite. Much different I think.

  8. Picking the minds of some great traders is like finding gold. Its all about confidence. If you deal in a moment to moment basis what happens when the market is down 500 six days in arow. what do you do? Its a simple I don't want to be on the sidelines scenario.

    No confidence in this market so I guess I will be on the sidelines.

  9. I agree too.

    Just to clarify, I understand lindq is a very successful female trader/member of this board.
  10. Smoke and mirrors but real at the same time :-}
    #10     Nov 16, 2009