How come when financial news sites show pictures from the trading floor the images are always so ridiculous? These folks look like they are having the best day of their lives. This is from Marketwatch this morning.
Take this post with caution, because I admit I have not backtested it in any kind of methodical way. “Use it at your own risk.” Of course, everything I say (per my disclaimer at the bottom of course) is at your own risk but I felt a special duty to say it today.
I mentioned [...]
I mentioned yesterday that I am suffering paralysis because I’m not willing to short the market in front of a potential inverse head and shoulder breakout but at the same time almost all long ideas are way overbought.
You have to love a stock like Books-A-Million that was a $1.70 back in March. RSI hit 94 [...]
Continue reading about Parade of Crappy Companies: Books-A-Million (BAMM), Chipolte (CMG)
What can you really do when $SPX is showing a huge good looking inverse head and shoulders pattern but RSI is at 73?
Answer: Do Nothing.
It makes it tough to blog because it seems like every chart looks bullish but is also generally overheated. It is even tougher because we’re in earnings season and many [...]
This post is really for those individuals that have a bearish long term view but also desire to participate in the rally. Put another way, what is a reasonable plan for getting long the market but being the first one off the train when it goes off the tracks?
The first part of my plan was [...]
Continue reading about To Have One’s Cake and Eat It Too (Sunday Night Coffee)
I find it interesting that most of the blogs that I visit were either short or neutral on the market before this big move higher.
When I look at 2009, there were really 3 big moves so far.
#1 – The first move was the big move down in February when SPX moved from 800 [...]
Continue reading about Bloggers Missed It – Mixing Up Timeframes
All I can do is watch. Breakout on IYT in spite of bad earnings from UPS. Completely foolish to get long the market after 12 up days on the QQQQs. You don’t even need an oscillator to measure it. However, no good reason to short the market. Perhaps if RSI on the QQQQs runs up [...]
After being up 10 days in a row, the RSI reading on the QQQQ is now up to 73. In the very short term, this at least provides comfort that based on price momentum alone it is not a good time to enter the market and the QQQQs generally.
I think for the first time [...]
Well, bears got hit with an inverse head and shoulders reversal today. Still, for those that were in the right sectors, bears were able to do well today. I mentioned the demise of the regional banks in my post this afternoon. Airline stocks also got beat up some more today. Retail, Metals & Mining, Transporation [...]
