This news came out and was widely ignored. Sounds almost like a warning.... http://www.reuters.com/article/marketsNews/idCNN1318675620091013?rpc=44 I think right now that the mania is so high right now, nobody is reading or paying attention to the news or numbers. Just going off of the jobless recovery theory. They see techs meeting expectations and assume banks will too. Not remembering that techs not only didn't need a bailout, but they sell products all around the world just to meet it. They benefit from a weak dollar because of exports. Banks can't exactly export bank accounts. And they're reserves are in dollars, so that has to hurt too, I would think. So we'll see tomorrow. The problem is these banks can easily manipulate numbers to show almost anything they want with the lax accounting practices going on nowadays.
Also I think a lot of these banks will try to stay in line with their peers. It's like when one firm decides to start taking massive write downs, the others in that sector tend to join in since the overall sentiment is negative and the market begins wondering anyways who else has that problem. If they surprise with negativity 3 years from now when everyone else is possitive, they would be crushed by the market. So if anything this would be the time for many of them to have an excuse and put the cards on the table considering the end of the year tends to be bad anyways. And if we really are in a "jobless recovery" then it should be the last dumped effort to take a hit and move forward. JPM missed by -2,150.00% in 12/08. http://www.zacks.com/research/report.php?type=estimates&t=JPM I'm guessing it has to do with a lot of stuff coming to maturity year end and having to be priced.
Seen more bears throw the towel today... Wonder how much higher this thing goes before it finally has to come down - if I was to short it I'd wait until after the earnings come - this thing can easily run up to $35.00 before finally going back down...and earnings could be the catalyst...
It raked cash for the people who faded you. Closed at 31.30 area. More than 5% above your impossible 30 level. Where do U get your analysis? By smelling your underarms?
No he got it because the fast stochastic was overbought and fundamentals were not agreeing with the stock being where it is. On the way to the march lows that stochastic was oversold for quite a while - that still didn't make a case for longs did it? Close to the armpits... Again, price action is what matters - I understand not buying into something because it's too high...But shorting it because it's too high is just plain dumb - wait for a pullback and a close below the previous day on heavy volume and then go short - put a stop if the price trades above the high candle high and you're all set - low(er) risk....yeah you'll miss part of the move but at least you'll have a reference point for a stop.... Stepping in front of a freight train is usually detrimental to one's account....
Whoa, whoever said it wasn't possible? I just said that most trading channels trade in an area where fundamentals match. We'll see it back in an appropriate range soon. Traders don't win trades every time and I'm not exception. But within this trading channel between 26-29 I've raked in some decent cash. With appropriate stop loss in place.
I also believe this stock is Over Bought because on the Bollinger Bands it's piercing through the upper 2.0 Deviation line. Stocks that trade outside of the upper deviation have a 2.5% chance of sustaining that trend. I'm not shorting for any particular reason. I'm shorting because every time Wall Street loses sight of reality all hell breaks loss.
If you want to be a Bull and take on a 2.5% success rate of going long be my guess. I'd prefer being the bear that has a statistical chance of making money on fakeout's like that 97.5% of the time. I've seen trades that had fundamentals match but technicals didn't and i've also seen the same setup vice versa. This trade I'm going to stick by, Fundamentals and Technicals match for me to go short on this trade. Seriously this trade is gold and unlike most traders I think and I'm very patient.
Now all jokes aside - are you in the trade? Just curious - not knocking - we can all learn something - from good trades and mistakes alike. If you're in, what's your average price - profit target and exit strategy in case the trade does not work out? Thank you.