Who Are These People Who Buy at the Top?

Why are there people who buy after a market move up, and then starts coming down, and they continue to buy. For instance, I cannot explain why anyone would buy the QQQQs and the Dow after 1:45PM today. The market is coming down. So what is in their mind to tell them to buy a thing that is coming donw?

 

How can you tell that the markets have reached a short term top?

 

Because the market said so. The top was reached before 1.45PM.

 

Possibly shorts who got squeezed by shorting due to negative news and not technicals.

The relentless buying is possibly their stop loss orders. When those are all all cleared then the market can rest and correct.

Susana

 

I don't know who they are but I'm glad they exist. Otherwise who would take the other side of the trade?

 

Obviously there were not many buying, otherwise i would not have been a top.

 

well sure I can buy at top

if it turns out its a top well I got my stop

top stop

stop top

after top comes the stop,
cause if there were no top
there wouldn't be any stop


I know I know, I need to get a life.

 

Markets almost NEVER rest and correct... so theres a tip for you. Rest aka consolidation leads to continuation.

 

pls stop
or i will hit on top

 

Not everybody is a daytrader. Wink Wink. If you are mutual fund then you don't care about short term tops or bottoms.