Charts seem fairly predictable. By that I mean at certain stock price levels, (short of a full blown cross the board bear mkt depression) people just say the heck with it, and don't sell, as opposed to lower levels where investors sell in desperation. Any spark of good news and shorters cover. Remember the other side of the transaction. The short seller needs someone to buy from in order to cover. I suspect what we had on Friday was simply a short cover rally that was precipitated by the fed rumors of a .5 rate cut. Soup kitchen participants got a heads up, whether you covered, went long, reloaded shorts end of day, or sat on your hands, will make little difference in the grand scheme of things. The important thing is knowledge is power, and we stay ahead of the curve, something I see very few others around doing nearly as well.
Trade smart... |
