8 replies to this topic

[mmm]

as of 2:24 pm

QID 8,683,000

QLD 824,600

Larry McMillan report graphics:

http://www.traders-t...showtopic=67880

[Cirrus]

If your P/C ratios are OEX P/C ratios I'd be careful. OEX P/C is one of my favorite indicators. It it spikes I almost always sell some longs and increase shorts. The spike in the OEX P/C we saw a few weeks ago was one heck of a market tell. It's batting something like 95% over the past 7 or 8 years as an indicator.

[mmm]

These are not my P/C ratios. Look at the graphics in relation to the bottoms in the market in the past. If we did not bottom already we are extremely close. We will let mr market tell us how this is to turn out. Dennis

[Cirrus]

Mr Market is always right.

[Iblayz]

According to the Financial reports dated 11/30/2006 QID had 10,725,000 shares outstanding and QLD had 3,150,001. There are unlimited authorizations. You simply cannot compare the two on a one to one basis re: volume with that kind of differential in the outstanding shares. I don't know where semibizz got his 25m-3m number from last night but it is certainly possible with the authorizations.

[mmm]

As you stated the authorization for these type of shares are unlimited. The fact that more traders want to buy qid instead of qld is telling you something. This is another example of the extreme pesismissim out there. Mark stated yesterday also that it was not a fair comparison because some traders might be hedging. So what!! These negative bets on the market will have to be covered eventually whether they were outright shorts or hedges. We all see what we want to see to justify our positions (talking our book ) I am no different, time will tell. Dennis

[Iblayz]

I am not currently talking my book. I am in cash. Posted a link here to my cover post (elsewhere even though I do not make a habit of posting my trades) this morning. I am not arguing up or down. I simply do not believe your comparison is valid as presented. Example: From the close December 20, 2006 to the close January 16, 2007 the QQQ advanced from 43.16 to 45.28 or 2.12 points. The QID dropped during these nine trading days from 54.45 to 49.73 on average daily volume of 4,687,433 shares. The QLD advanced during these nine days from 81.04 to 89.10 on a whopping average daily volume of only 697,578 shares. Now why was the volume ratio so slanted toward the QID then? Tell me. You could have used the same argument. Too many bears are betting against the trend. But in the next nine days the QQQ's dropped all the way back to 43.63 or a loss of 1.65. All I am saying is that the ratio has held up over many months and I do not think that the deduction drawn from that alone is valid. I will say no more about the matter because I am not trying to start a fight.

Edited by Iblayz, 16 March 2007 - 03:56 PM.

[mmm]

I love a debate;not a fight. If my response was too harsh then I apologize. Best to you. Dennis

[Iblayz]

Thanks for the response. I am a firm believer in civility and respect but I am also human. No name calling involved and no suggestions of stupidity or ignorance would make all of our endeavors on these sites so much better but it seems too much to ask. And when it happens it would be nice if those involved could just admit the error and get on with it. I did that here....http://www.investorshub.com/boards/read_msg.asp?message_id=7315651. So no problem and best of luck to you as well. Now about that volume.........LOL.