How much of the volume was buying versus short squeezing?
Dunno, but doesnt matter (if you're asking me).
Volume is volume, and short-covering rallies are sustainable.
I do think it's interesting that most of the upside fuel was in large-caps which trade options, which makes me think alot of this was hedged buying vs. one-directional buying.
XLF opened Friday at 33.2, now its trading at 33.26
If we close around here, I think it will be a significant event, considering the volume on Friday and today.
Friday volume in XLF was simply astounding.
Good call on XLF ! -- I think it moves higher to 34-35, but would bet there is a lower retest ahead.
I dont like BAC's chart here, long-term FWIW, though short-term it could rally back up to 50-51.
Good trading.
Edited by beta, 06 August 2007 - 08:39 PM.