We are at the BOTTOM (of a bubble) keep buying!

Discussion in 'Trading' started by qlai, Jan 31, 2021.

  1. qlai

    qlai

    It seems lots of people are calling the top here. I understand why, but markets can get much more irrational. IMHO, we are at the “early majority” stage and we have looong way to go. The “diamond hands” phenomenon is one of the reasons I think we are still in the buy-the-dip mode.

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    fan27, narafa and zghorner like this.
  2. zghorner

    zghorner

    Are you referring primarily to the handful of stocks people are talking about or the market as a whole?
     
  3. qlai

    qlai

    I think the craziness will spill over to blue chips. If WSB crowd moves on to pump higher priced stocks, it will not be as easy to suspend trading in those. Confidence begets confidence and their numbers will keep growing.
     
    zghorner likes this.
  4. ZBZB

    ZBZB

    Funds are going to sell longs to pay for short losses.
     
    zghorner likes this.
  5. narafa

    narafa

    Yes, I do believe so as well, it will take longer than most expect and it will even get more irrational along the way that it will spin everyone's heads. In my opinion, we haven't reached the mass greed yet, which defines the real top in a bubble.
     
    zghorner and qlai like this.
  6. zghorner

    zghorner

    GME is currently sitting at $300/sh while tiktok thots are giving trading advice...it is just around the corner my friend.
     
    Apologetik, KCalhoun and El Trado like this.
  7. narafa

    narafa

    It took over a year (1999 to March 2000) to put in the real top in the market and give the "Internet Bubble" it's famous name. At that time, shorts started shorting highly valued stocks (With no fundamental value) like in 1998 probably and of course they got burned to hell, because a lot of those stocks just kept going up against them for another 2 years.
     
  8. zghorner

    zghorner

    Noted. It seems like the bears are always early to the party.
     
    fan27 and KCalhoun like this.
  9. KCalhoun

    KCalhoun

    The one sector I'm still bullish on is cannabis, eg look at recent run in CGC. We may get a short lived bounce Monday etc, main signal is if selloff continues end of week.

    As long as VIX stays up >30, selling pressure continues...

    lol re tiktok thots
     
  10. SammyJ

    SammyJ

    I agree the excitement just got started .I’ll be 100% trading from the long side . The Dow hasn’t gotten irrational the least bit . Looks like we’re just in a 10% range basing right now .
     
    #10     Jan 31, 2021