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Strategies & Market Trends : Options

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To: edamo who wrote (7339)5/4/2000 2:22:00 PM
From: Jeffry K. Smith  Read Replies (1) of 8096
 
Ed,

nas hitting higher lows on higher volume is a warning sign...institutional distribution, sucking the naive knights of uncle's round table in a bit deeper...look for a high volume breakout....until then exercise caution....
Could you explain this phrase a little more? If the Naz hits higher lows on higher volume I thought that meant that the base was firming up - but then you talked about "naive" people being sucked in...?

A high volume breakout - because you did not specify, (or proably because I am not knowledgeable enough), could the breakout you refer to be either upward or downward?

In a market like this I am hesitant to do anything - in your opinion is this a good course?

Thank you,
Jeff Smith
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