Most of this rally was due

Discussion in 'Trading' started by S2007S, Oct 16, 2006.

  1. Now go tell everyone else that. :)
    #21     Oct 16, 2006
  2. S2007S


    agree, I think the inflations #'s this week will come in Perfect. Why wouldnt they.

    As for Gas and oil being down this is only boosting our economy to the point where I believe rates will have to move higher. Been hearing that the housing correction may be over. I hate saying this, BUT WHAT HOUSING CORRECTION MAY BE OVER, were just in the 1st inning of a long housing correction to come. Most think its done with. FOOLS
    #22     Oct 16, 2006
  3. S2007S


    If the Dems take both, market is going to fall.

    I wish the elections would come quicker, this is taking to long.
    #23     Oct 16, 2006
  4. you're admitting that it's a bull trend. So, again, why short in expectation of a 2 or 3 sigma break in the opposite direction?

    If oil keeps going up this week and the inflation numbers suck maybe we'll get a pullback here but in the meantime I'm not getting up in the morning thinking, gee, what can I short today.
    #24     Oct 16, 2006
  5. S2007S


    Im admitting that its been in bull trend since breaking May highs.

    Im telling you in May the drop was so quick no one had time to short at the top. No one can catch the bottom and top perfectly.

    So when you wake up what are looking to buy as the market continues to move into even more overbought levels.
    #25     Oct 16, 2006
  6. the market can stay irrational longer then you can stay solvent. :D
    #26     Oct 16, 2006
  7. moo


    Perhaps one reason for the rally is that the market has begun expecting a divided government. It's good for the country, the economy and the market, if the government can't get much done.
    #27     Oct 16, 2006
  8. Whoa that's a very bold statement. It's definitely fed induced, just not through any public statements or hints.
    #28     Oct 16, 2006

  9. lol - sorry, you got my meaning though.....
    #29     Oct 16, 2006
  10. piezoe


    I don't know what the market is going to do, and neither do any of you. It is pointless to speculate. There are a few things we do know, however, from past experience. One is that it would be uncharacteristic for the Fed to raise rates right before an election, but they have often paused before an election, as indeed this Fed Board did do. While the Dow is at an all-time high, both the S&P and NASDAQ are not yet close to their all-time highs. The market will, at some point, unknown to any of us, reach a maximum and then come down. There will be regression to the mean as there always is and always has been. As someone pointed out, the building/lending bust has barely begun and certainly has a long way to go. A strong bull market in the face of deteriorating economic fundamentals is a potentially dangerous bull market. Anyone holding positions overnight should be increasingly cautious. The market will tell us when it is ready to go down. So far, it has only told us that it wants to continue going up.
    #30     Oct 16, 2006