How high is this thing going to go?? Seems to me it is impossible for this to continue at its current pace upwards.......!!
Now (as of yesterday) it is 849.22 while on Feb/Mar 2002 it reached 854.20 Anyone care to guess what the market did on Feb/Mar 2002?
Its a good point Babak, but what about other signs of market strength, weakness. Internals, AD new highs, etc. Are they in a comparable state as well?
goin' off the rails on the crazy train!! let's not forget how this whole thing started -- with a midnight short-covering rally in the dollar... i will not lie -- i am psyched to be short.
I am beginning to suspect a that just pullback is in the works, not a trend change. There are a few things different in this rally than the other bear market rallies. 1) Since 2000, nasdaq rallies of greater than 2 weeks have occurred after new post 2000 lows in the index. Not this rally, it has occurred off a higher low. 2) A 90% up day followed a 90% down day started this rally, and historically, these have resulted in multi-month rallies. Lowry's other indicators are currently very green but in overbought. 3) sector participation in this rally is more broad based than the other rallies. I am psyched to be short now also, have bought Rydex short funds at yesterday's levels, but I am limiting my outlook at this point to a pullback. And if the pullback is not accompanied by heavy selling, I am inclined to see the rally continue. If anyone can get AMG data, please post.
We'll have to see how deep the pullback will be. indices are not out of the woods yet, they're under a downtrend line.