We're looking toppy....

Discussion in 'Trading' started by bbraunstein, Jul 31, 2002.

  1. What do you guys think? Are we starting to top out? Is it my imagination or have semis and brokers already started to roll back over?

    Is it just a matter of time before we test the lows.

    If it wasn't for window dressing, we would have closed at the lows, IMHO.

    OEX and DIA puts are starting to look very attractive now...

  2. nkhoi


  3. You don't think it was due to window dressing?
  4. too soon to tell.
  5. Just hard to believe that we will continue to move straight up like that without so much as a pullback......
  6. I would say we will retest the lows for sure...however the time i am unsure of.

    After todays rally into the close, on bad economic numbers....this might show the stubornis of "bulls". We could run higher and then have the sheep jump aboard in the belief that things are ok.

    Such a rally will produce common sentiment that all is ok,,,BULLS are back....YAAHHHHHHHHHHHOOO.

    Then.....one morning with out any warning....we drop harder than we have seen so far. Thus making a W....and put in a true bottom

    That is my take
  7. well, one of the better indicators for future price action lately has been the bonds reaction...From what I was looking at, it did look pretty compelling to the downside especially when the NQ punched thru 950 on several occasions and the ES kept breaking back under 895 and then 893 area...Bonds CONFIRMED this; which is why this late afternoon run was a bit unexpected, but I still had to reason that we are in an upswing since Monday's 5D line breakout...

    Long bond rallied 41 ticks...Ten years broke thru upper resistance and held into the close...That is some serious shift back into bonds for the markets to rally that much...Alot of divergences, not trading aggressively in this slop and chop...
  8. Well, I don' t know much but what I do know is that markets never go straight up....i'm sure we will see a pullback soon, and bulls will be tested and have to step up to the plate if they want to see the markets move higher.

  9. Definitely a lot of cross-currents out there.....SOX and XBD look pretty weak too. Naz and SP Cash usually follow these important sectors. Hard to believe in a rally when the leaders aren't leading....

    Also, didn't retail take a crap today??

    So what sectors are leading this market higher then?
  10. It depends on if I go long or short

    having one of those weeks

    I go short ... it rallies ...

    I go long ... it dumps ...

    lost 1/2 of my profits from last week

    #10     Jul 31, 2002