the trend is up, market has bottomed.

Discussion in 'Trading' started by lundy, Jun 21, 2002.

  1. lundy


    This week was the final week in the latest multi week sell off.

    Expect the naz to go up 500 points minimum in the coming weeks.
  2. savage




    at this time
    nsdaq -12.22
    sp500 -12.07
    dow -126

    what is the buy signal?
  4. Mike777


    maybe. maybe not.
  5. The interesting thing is that we've had 2 straight down weeks, which I can't remember happening for a while. The past 2 months or so have been 1 week up, 1 week down.

    Unfortunately, unless Americans decide to start ignoring the middle east, the fear component will still cripple the markets.

    I don't care if it goes up or down; I just want the volatility back. I can definitely see a stabilizing rally in the next week, but there's no way we can get a 30% boost in the naz unless somebody can produce osama-never-been-laiden's moldy corpse.
  6. savage


    I think the worst thing that could happen for this market is a sharp upturn. We need to solidify a bottom and consolidate before turning up. These sharp mini rallies are just fueling the shorts. We need slow steady advances for the longterm health of the market.
  7. Yannis


    Of course I don't know what the market will do over the next few weeks.

    However, it is my understanding (from the weekly COT reports) that big money has been lining up over the past few weeks with a Naz long outlook. Therefore, my personal expectation is that the index has a high likelihood to turn soon.

    Not that I can use this for daytrading, but, FWIW, I have been buying QQQs for one of my long-term accounts.
  8. lundy


    about the fundamental reasons why we go up or down. I only know that my formula says this week is the bottom, and it was going to be either the day before or after the 20th....

    the reason for me not knowing which exact day was because of the september 11th terrorists.
  9. lundy


    will gap up, with no closure (at least not immediate).
  10. I may not be as smart as you in trading, but why would I trade contra to the trend of the last two years ? A very wise person once told, " you know the stock hit bottom when it hits zero, until then it can always go lower". The way the market has been for a while (and considering 90% of my profits have been shorting the market the last 2 years) I would not have a long outlook on the market. Expect a pop here and there (afterall, the market wants new money coming in when everyone thinks IT HIT BOTTOM) my opinion is that we still have down time coming. After all, the DOW is still over 9000.

    I say, go with the trend until it changes. Then go with the trend.

    Hey, that was a pretty good line. Maybe I'll make it my quote.
    #10     Jun 21, 2002