Although I am bullish, I would not call a 1% gain in the Nas a "mega" rally nor would I call a 1% decrease a mega-decline.
True, but stocktrader said "today we had our mega rally" 1% moves happen quite often in both directions.
Nasdaq is now well positioned to breakout to the upside. No matter what tomorrows #s bring, the spin will be positive. If negative numbers, folks will say the fed will move to neutral and cut rates sooner now. If positive numbers, people will say 'see the economy is very strong'. This is hindsight analysis, I admit I sold my DIA calls today when we started selling off again around 1-2pm.
So you called a rally, but before that you would have had to suffer the drawdown of yesterday's violent selloff. If you want to sound good, call your plays live ie: when to enter and exit. It's easy to say the market is going to rally sometime during the week, But to make money you have to have an entry where you don't suffer major drawdowns. This is my opinion on all these threads about calling for selloffs and rallys. What I've noticed is there's a call, then there's quite a move in the opposite direction before it goes in the way of the calls. To me making a living trading is by riding the swings both ways. Who cares if the market will rally or sell off sometime this week.
the numbers could be tossed any which way to throw out a positive spin however if we get something below 75,000 and an increase from 4.5% to say 4.6 or 4.7, that could bring a selloff. I have seen oversold rallies in June and July, but for some reason overbought conditions dont exist at all in these markets.....quite interesting.