I am LT bearish but always looking for where I may be wrong. To me, market not going down on bad news is a heads up but this was also options expiry day and I suspect many index stocks were pinned to a strike price. Very artificial action late PM suggest options were being pinned. Russell 2000 was off more early in the day - watching the big cap indices will probably give a false read as index constituents are frequentl bid up to give the impression of strength. Also as noted by someone else the market has had a climax selloff which it has retested. Wondering if there is a short term (or longer) bottom in place here. I think Tuesday will be a very telling day for the markets.
All the indexes finished at the high of the day on Friday if you noticed, thereby giving a sense of strength. Next week who knows what we will see.
Markets were pretty much flat ahead of a long weekend. Sure we opened up down a lot and closed up strong but for the most part the market were flat as volume may have thinned a bit. Next week is a new week and we shall see what happens. I am short-term bearish and Friday's action did not really change that.
Sorry for getting off topic but you mentioned stocks getting pinned to a strike on expiration day. Could you tell me how that works? I have heard that before but always thought it should work the other way, like this: 1) short option holders delta hedge more than longs, so they should drive the underlying 2) if I am short an atm straddle at 10 and delta hedging, if the stock goes to 9.50 I sell and push the price down 3) if the stock goes to 10.50 I buy and push the price up 4) so any small price move away from the strike should get magnified So it seems this should push the price away from the nearest strike with a lot of open interest, not pin it there. So if it really works the other way, what am I missing? Thanks
there's excuses for everything. Place your gambles at the casino. Markets BEEN down on bad news. Idk what the point of this post is about.
I think we are heading for the third wave down, which will cause capitulation. The latest move by GS informing their wealth clients that their investments could not be pulled from their "Treasuries" fund is a huge signal. The failed auction this past week shows, there is no safety but "cash" per sa. Port authority saw their interest rates jump from 4% to 20% after the failed auction. This is the thin ice breaking, which will cause the market to break below 11000, yes even in an election year.. The Gov. closing down the web portal that brings the sheeople their "economic" numbers...is suspect. DUHHHHHHHH
Please to meet you, hope you get my name ------ Mr. DOOM & GLOOM. These types of negative posts and outlooks despite assurances by Feds rate cuts and coming rate cuts is what is causing turmoil in US markets. These weak individuals are scared to death. They cannot fathom the mere fact that if things get bad they can face it with gratitude and some reserves. Its the typical consumer, a scared cat running towards the hills
i bet you me bottom dollar that we've seen the lows for least the whole this '08; matter of fact, bottom fishers sidelining in caution for 1300 spoo likely will be forced to chase momo as mokwit marks da real bottom thereabout right here, thereabout right now. thus far spoo500s aint posting much slower of a growth econoheads hoped for, not to mind the necessary recessionary eps... ... also necessary for for three qts in a row, just to back you up.