all major investment banks are now following BSC which broke down big time yesterday. I believe it will not stop till 84 which is far away from where it is now.
http://www.traders-t...?...st&p=307120
That is the main issue here. the market is evidently following them. Short squueze? Possible but I think it will take more than what we have seen so far imo.
Those McSums I posted this weekend is the biggest indication why this correction / sell off or bear market , whatever you wanna call is different than Feb 27 plunge , perhaps summer 2006 plunge.
And remember, this is an opex week, they sometimes ******** like elephants
shes gonna get wild
this market changed on Feb 27, vix never dropped back while the market was rallying off the march lows... in my opinion, that was the charachteristic change which foretold a larger scale correction as well as a new range for vix and vxn.
be careful and good luck
To better understand why this market is different than what we used to have , the following chart should be considered...
When this sucker breaks below where it is now, which it will in coming days / weeks as foretold by RSI and high volume intra-month penetration of the green TL , the panic shall start.
That will be the sort of selling climax, intense and broad based that most of the young investors who didnt experience the plunge in 98 will never forget
Edited by A-ha, 14 August 2007 - 04:00 PM.
