Stops of shorts cannot be the reason, because they are triggered on the why up. So that was done before/including at the top. When the market comes down, it triggers the stop of the buyers(the ones I am asking about) who then become sellers.
So why they did not buy in the morning when the market was lower? And remember my problem is with buyers buying when the market is coming down. they should just wait for a lower price (wink wink).
what id like to know is, who was buying BSC on the way down?..for every seller, there has to be a buyer...right?
But there does not have to be a buyer at the sellers price. So the seller has to lower his price to entice the buyer. It is not surprising that buyers (in this case suckers) appeared as the price fell. They thought they were getting a bargain.
Had I even been looking at BSC I would have been out of it back when it crossed under it's daily 200 SMA on 5/15/07. If I was silly enough to stay in after that I would have for sure been out by the time it retested it's 200 SMA as resistance on 6/15/07. Any long term traders who thought they were getting a bargain since then should just start mailing their paychecks directly to Wall Street and not even bother trading. There weren't even very many decent swing trades in BSC between June of 07 to now. I would imagine that the only smart buyers of BSC in the last year were the day traders that managed to buy the low each day and sell the highs of the same day.
The MARKET did not come down. How short are you? Do you believe in Technical Analysis or tooth fairy?
in the down side, people like me are buying for variety reasons: 1. I shorted it a little earily time, I want to cover it when it goes down 2. I think that is a rally pullback, I want to buy it and wait to see whether the rally continues, if I am wrong, definitely I bought a top 3. I think the market is in panic selling mode like massive stop loss triggered, I think the market will quickly recover after the stop loss is token out, but I may be wrong and I bought a bear market consolidation, that is sure late a top from the chart. some scalper actually do not care going/going up, they may take several ticks up as a rally, like QQQQ, normally flucatuate between 1 to 2 points, they may take 0.1 ~0.3 even 0.05 point as a good trade, they can trade large size to make quick bucks.
Trader David: but why do you buy when the price is coming lower. Why not wait to buy at even lower price? The market was coming down at around 1:45PM. So what is the rush to buy. For instance QQQQ dropped from 46.36 to 45.75. 45.75 is way cheaper than 46.30, plus the market made a big move over the last few days. It is likely that it will pull back at least a bit before moving higher (if it will move higher).