I think we should be playing more stocks like NETO
quote.yahoo.com
All ya had to do was buy 20,000 shares of it at .70 .... and you wouldn't have to trade again for a week !
Is it any surprise that the NASDAQ keeps gravitating to its 50 dMA ?
quote.yahoo.com^IXIC&d=c&k=c2&a=v&p=m50,m200,e50,e200&t=6m&l=on&z=m&q=l
S&P 500 -- basically the same story
quote.yahoo.com^SPC&d=c&k=c2&a=v&p=m50,m200,e50,e200&t=1y&l=on&z=m&q=l
Maybe we'll see another run for the 200 dMA this month. Even on the NASDAQ. A "light at the end of the tunnel" rally, lol. The double bottom at 1940 this week looked pretty good.
Interesting that MSFT -- did not rally this week. In fact it broke below its 200 dEMA. Hmmmm maybe its 47 PE is the reason. IBM didn't rally either.
quote.yahoo.com
I'm guessing that institutions have decided that low 70s is as high as MSFT is gonna go near term, so now they are rotating money into beaten down stocks -- accumulating them back up to somewhere near their 50 dEMAs. The key word is rotation. That means that the same old money is just moving from stock to stock.
I'm kind of sick of hearing people on CNBC saying they don't want to miss the resumption of the bull market. Are they telling the truth ? I never know. The fact is that the NASDAQ hasn't traded above its 200 dEMA in 10 months. Right now the 200 dEMA is about 2300ish -- a mere 300 points away and getting lower with each passing day.
If the NASDAQ is going back to 3000 - 4000, I can wait for confirmation, lol. Maybe when there's a month where CNBC doesn't mention 100,000 - 200,000 job cuts. In the meantime just trade rallies. Better than thinking we've bottomed and watch the NASDAQ head back down to 1600 !
Regards,
Chris |
