8 replies to this topic

[NAV]

The A/D line had been butt ugly the whole day. What did the SPX do ? Churn sideways the whole day and then drop a measly 8 points and suddenly stop accelerating at a crucial time pivot 2:30 Est. I would have exepcted a 300 point down day with this kind of ugly A/D line. When the market is not declining much in the face of such ugliness, what does it tell ya ? That the price level is attractive regardless of the nasty internals. Plus entering the crucial time pivot of the day 2:00 Est with a 120-min momentum buy means, the big players were determined to take this market higher. Now if we were to see a momentum failure on 120-min charts, i bet you would have seen a ugly wide range bar on the 30-min charts after 2:00 Est. Instead we saw the markets stabilize between 2:30 to 3:00 Est, which practically said the decline is over. COVER YOUR SHORTS or for aggressive players, GO LONG. This kind of stuff cannot be detected by mechanical systems. You gotta be a ardent tape watcher. This is all part and parcel of volatile bottoming action. I would go out on a limb and say a swing bottom is in place now, which should be good for at least 30-40 SPX points. One baby step at a time !

Edited by NAV, 05 November 2007 - 03:27 PM.

[ogm]

NAV, thid is volatility. None of these bounces change a thing. Futures can gap down 15 points tomorrow or up just as easily. The trend is down, the market is erroding, untill proven other wise.

[Cirrus]

The market has departed drastically from historical norms if you look at daily internals and range of the SPX and NDX. I have my opinion on why this is but won't get into it right now. The bottom line is that extreme breadth like we've seen many times the past couple of years has historically created much larger percentage moves. Now these extreme breadth days don't really move the market much.

[eminimee]

I'm all out at 1515 es...sold rest of oex weekly 715 calls for more than a double. Tomorrow is another day....over 30 es points on the day.

[atlasshrugged]

if we can get a cap to 1522-25 on the cisco news i will short... went long the ngs at 2000 and took a quick 19 points on NAV recomendation! thanks NAV and TEA

[NAV]

NAV, thid is volatility. None of these bounces change a thing. Futures can gap down 15 points tomorrow or up just as easily. The trend is down, the market is erroding, untill proven other wise.

We will know that in a few days. In any case taking 18 SPX points in 30-minutes is never a bad thing. Took half off and riding the rest.

[Insider]

ES 1480 next step Then 1440..... NO RALLY....CONTEXT IS EVERYTHING Staying short! Insider

[hiker]

NAV just a quick note to say "great call" real-time calls like this have value. Teaparty already knows what I think of his great calls and trades.

[NAV]

NAV

just a quick note to say "great call"

real-time calls like this have value.

Teaparty already knows what I think of his great calls and trades.

Thanks hiker.