Heck of a rally

The AAII low read last week which had bullish resolution odds of 3 to 1 came through as I mentioned on a thread as well as TM brought it up before me the other day. Our monthly projection (does not have to be the current month) had us at 1391.75 at the start of the month almost thought we were not going to see it. Seems most were one way...short. Here is the crazy part the monthly now has es with a target of 1398.75. Only taking out today's lows will stop it or our monthly changes signals (I'll post that if it does). I do not have a clue why this rally took place or taking place. I can speculate as to why or why it should go down but, what good will that do. It just is. btw We now have intra-day targeting and it did real nice again today.

I forgot the B part of what I said. That the central banks were going to announce something crazy and the market would launch. Well "we will do what ever it takes" sounds pretty crazy to me.

http://www.traders-t...howtopic=140936

Maybe it's the enormous O-flair we just got from the sun or something. Or the very unusal dry weather that is going on or the phoenix cycle completing but it sure feels whats going on.

Z,

Here is why it went up, I wanted to posted it but didn't. Rule is, which ever way price goes into the consolidation
is the way it will come out. The board being overwhelmingly bearish, and the fact I missed the first day of the turn
kept me out and I tried shorting GOOG, at one point I could have covered for a tripple, I let it ride and that position
is now zeroed out, and had I only hedged, I'd be up a couple thousand. I freeze, because I think I might lose on both
and take a chunk out of my account. Trading is the hardest part, not the T/A.

Hey C, If the TA sucks then the trading is even worse. If your freezing your using to much leverage bring it down to comfort level. Talk about missing (except for scalps). I forgot what we call the 2nd 10 in our bias signal which went off at 6:26 am and projected 18.9 TF points minimum. I was so busy with keeping the members in the new intra-day targets and my scalps I totally forgot to look at the bias signal. The last time down from 1376 it went off for 21.1 Tf points. I now posted it on my 10 min check list and told the members to keep on my butt once the 1st 10 or zero (same for drops) hits. That was one of those lay back and let it ride. So, I hear ya. I like your chart, clean.

I do not have a clue why this rally took place or taking place. I can speculate as to why or why it should go down but, what good will that do. It just is.

Come on, Z. You don't have to speculate. Of course, you know why this rally took place. One word - Draghi.

I do not have a clue why this rally took place or taking place. I can speculate as to why or why it should go down but, what good will that do. It just is.

Come on, Z. You don't have to speculate. Of course, you know why this rally took place. One word - Draghi.

TM but it is just words so far. I could say that bonds will net you a negative real return adjusted for inflation at this point extrapolated out 5 years with very high probability and even 1/3rd the historical return in equities beats them now and, some of that money which I am sure you know is many times the equity market can move things in stocks with just a spec of it. The fact AAII was so low after a 2% rally, usually means a monster short covering rally since so many were short. That equities have been consolidating for 2 months with zero impulse down in the bigger picture. There is more but the mere fact he said that... perhaps investors want to be in something real and not in currencies that see no end to printing. All this is speculation. The only thing that is not is price and it is higher than it was 2 months ago. That is what I go by.

TM who knows except for price. I know the breath guys are saying it leads but sometimes there are hundreds of points before it does so yeah but no thanks to those draws before it does.

I do not have a clue why this rally took place or taking place.

Draghi said they would DO ANYTHING to save EU.
Translation: They will print like crazy.
Result: Get out of cash and buy assets, including stocks of companies which
will do OK in spite of currency debasement.

Edited by pdx5, 27 July 2012 - 11:55 PM.

Of course, price is the final arbiter. I don't have any problem with that.

Of course, price is the final arbiter. I don't have any problem with that.

I am sure TM. That ISEE read is one nasty one.

PDX exactly it does not make you want to buy stocks like crazy but they sure look better when these nut cases are doing what they are doing. Hey lets face it it's the end game and they know it but it could last another 2 decades before the entire system implodes. Specially with the help of cheap energy down the pipeline.

In defense of the nut cases... I just wanted to say they are mere puppets for the power behind them.