Plays next week

The market is anticipating an interim Greenspan cut in April because of the sharp pullback in consumer spending. My gut feel is they will not get their wish and next week may start a renewed search for a bottom.

If that is the case, short plays will be in order. The SOX is up over 30% in the last couple days and appears ripe for a bigtime correction as there are no fundamentals underpinning the recent move.

Anybody have any thoughts on the market and potential plays next week?

Regards

 

I agree that we're probably looking at a pullback and that the rally last week was a simply bear market rally. The SOX might be a good candidate for put options. In equities, I've been watching NVDA form a double top. Any weakness on Monday will most likely trigger me short.

 

I am looking at puts on oil stocks also.

 

I simply let the charts of the individual markets speak for themselves and I have literaly dozens of short set-ups....

I would love to see a gap-up into that strong resistance just above monday morning and then a sharp reversal

PEACE, Commisso

 

We are still oversold on the longer term. Bear Market Rallies can last for months. We need to knock out quite a few shorts still.

I feel we still have more downside but might have a few short term, meaning months, rallies in between.

Commisso is right read the market. Don't have a very strong opinion about the market.

rtharp

 

I simply don't try to predict what will happen next week.

I REACT.

 

Both of you are correct. Thanks for reminding me. I have been spanked a couple times for having a predetermined mindset on which way the market is going and found myself trading against the market.

Regards