6 replies to this topic

[dcengr]

My thoughts are that generally, volatility is not bullish, especially if its been trending without volatility for a while. Why? Mainly because investors don't like it, and when they see it after a period of lull, it adds fear/uncertainty, and that has a tendancy to grow or magnify. Still, a sharp decline is characteristic of a bullmarket correction rather than a bear market correction. As I see the tape right now, the Qs bounced off 42.5 and gained back .40, which itself is a lot. Price wise, its getting close to levels of last few days, but intra day swing is getting quite eratic. Only problem is.. we're not seeing this in SPX or Dow... yet.

[selecto]

You will. I have the BB squeeze on SPX daily resolving down. Cubes and chips leading in here.

[dcengr]

You will. I have the BB squeeze on SPX daily resolving down.
Cubes and chips leading in here.

I'm not so sure about that. The liquidity that came in to halt the Dow slide and pushing it back to positive is quite amazing.

I think we're going to see more chop before it resolves down, and that probably means next step is up.

[endisnear]

You will. I have the BB squeeze on SPX daily resolving down.
Cubes and chips leading in here.

I'm not so sure about that. The liquidity that came in to halt the Dow slide and pushing it back to positive is quite amazing.

I think we're going to see more chop before it resolves down, and that probably means next step is up.

out of shorts..long SMH and cubes...great opp to throw everyone off here...but its gotta happen soon...

You will. I have the BB squeeze on SPX daily resolving down.
Cubes and chips leading in here.

I'm not so sure about that. The liquidity that came in to halt the Dow slide and pushing it back to positive is quite amazing.

I think we're going to see more chop before it resolves down, and that probably means next step is up.

one tiny positive whimper out of intc or dell is what I am expecting...thatll send semis screaming and cubes back to highs..no one is expecting anything out of them....TXN won't go down anymore...after bad news

[SemiBizz]

Today the Qs stayed above the slip zone. If you see 42.49 then 41.50 comes.

[qqqqtrdr]

Today the Qs stayed above the slip zone. If you see 42.49 then 41.50 comes.

SemiBizz: I agree we are Neutral at the moment with both Bullish and Bearish plays today. We have hit the 50-day MA twice in the last couple of weeks on the QQQQ's and it gave us support. Will that support continue? We had high volume today eluding it can, but since we did not trade Monday or Tuesday, the high volume can be somewhat disregarded.

Barry

[kaiser soze]

Volatility is here to stay. Its gonna be a trader's market. Also, I think I-T top is unfolding right now but its going to be a rollercoaster. I dont think OEX 670 is going to be exceeded except perhaps for a very short spike. Here is one possible scenario based purely on Psychology. Or as Dcengr would say, I pulled it out of my a**. A lot of traders think the IT top is in. They watch the QQQQs retrace 50 % of today's decline-so they short. Qs go up. Then Qs kiss kiss the ascending trendline (that was broken today) and people get short again. Qs go up. Maybe SPX and OEX make marginal new highs. Qs reach the top of the Bollinger band (20,2, 1 hour period). Economic news is good. Job numbers are good. People get ready for a break-out to SPX 1462 and position themselves accordingly. Then market sells off again. QQQQs reach lower BB and everbody dutifully buys the dip. QQQQs dont oblige and keep walking down the lower BB. SPX atleast reaches 50 DMA.

Edited by kaiser soze, 03 January 2007 - 06:33 PM.