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Strategies & Market Trends : Sharck Soup

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To: DlphcOracl who wrote (16668)4/18/2001 1:14:47 AM
From: Mike M   of 37746
 
Delph, I won't disagree with you until the market proves us wrong. Nominal new lows on declining volume in the Naz over the next few months is another possibility. I'm convinced that the Dow & the S&P have yet to bottom, however, I question whether they will drop anywhere near as far or as fast as many have presaged...Perhaps it will take Middle East violence or gold eruptions as decline catalysts but my guess is that they will hit new lows in May and again in Aug or Sept...with intermittent rallies...If we don't get a new low in the Dow in May, I will still look for a new low later this year.

The liquidity being pumped by the FED into the financial markets is extraordinary and makes it very difficult in the short to intermediate term to expect the markets to plunge. I am concerned with the health of our economy and how this engineered liquidity will play out long term.

As I have expressed a few times on this thread, I think puts are going to be a little tougher to make money on than in the recent past.
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