The bear market rally is now done - Monday starts another downtrend - see attached

Discussion in 'Chit Chat' started by Port1385, Jan 3, 2009.

  1. Monday will come and we will see what happens when all the traders get back to their desks.

    Why argue with the chart? Trade the chart and the chart says we must re-test the old lows. Hopefully, the trap door wont open up on the re-test for all those that are long.

  2. no it doesnt.
  3. NoDoji


    "Past performance does not guarantee future results."
  4. How do you think breakouts happen? Chart patterns meant to be broken .
  5. I'd be shocked if we did'nt rally to the 10,500 area on the dow.
  6. More down seems only way too obvious to me as well - but when?

    Before we head lower, we need to have a <b>confirmed</b> break below 919.00 area - just IMTO of course.

    However, because the [short term] "Trend is your friend", expect resistance to get taken out.

    IMTO, a retest of 919 <u>area,</u> then expect another leg higher. In this case, a <b>confirmed</b> break below 919 area would be the "surprise".

    If we bounce up, the gap at 937.50 area should show at least some pause, but 1008 <u>area</u> is safest area to short - just IMTO of course.

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  7. ETers usually pound the desks when they think the market will go in their direction when conventional logic and charts state they are simply wrong.

    Now they have all gone bullish stating a matter of factly that this is the bottom pounding that good ole ET desk that has been pounded upon for the last 9 years. They pounded it in 2000 saying buy tech stocks and again it was pounded in 2002 stating that the market should be shorted. Oh well, if it isnt the bottom then they will simply get new ids to post under.

    Gotta love ET. Everyone here has had at least 20 aliases.
  8. I agree with the OP. This market is severely overbought and will see some downside starting Monday or Tuesday. With that said, I'm not sure a re-test of the lows is in order. Maybe a 30-50 point pullback.
  9. sure we can have some down days but he said we "must" retest the lows.
  10. i said i'd be shocked if we don't see 10.500. i actually meant 10,000. however,10,500 is not at all overly optimistic.
    fund managers get rated based on yearly performance so the million dollar question is where is the market a year from now?
    this will be a short term trade in my opinion as bear markets rallies are notorious for sucking in the amateurs;the old fool me once,fool me twice.
    bear rallies are powerful and make everyone feel good which knocks everyone;s guard down so to speak. thats when the hit takes place. so i am still bearish with a very short term bias to the up.
    #10     Jan 3, 2009