SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Waiting for the big Kahuna

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Lucretius who wrote (68317)1/17/2004 1:45:54 PM
From: Real Man  Read Replies (1) of 94695
 
Pullback is based on options expiration. Robots are trading
these markets. We can expect them to do something
collectively, it's not uncommon.For example, they always
trade opposite to the market when we are more than 2
standard deviations away from the mean. If the markets
are liquid, robots always make money, that's why they are
allowed to trade.
Humans are trading these
markets along with robots, but their collective behavior is
more complicated and is harder to predict. -g- That's why I'm
saying pullback, based on
robot trading. Robots should sell next week. Will humans
buy the dip
or sell? I don't know. If the pullback breaks some support
levels, such as 50 DMA or 50 RSI, humans will get scared -g-.
Robots are never scared, they will attempt to buy the dip,
but if humans are too scared, they might not succeed doing
so. Robots are never afraid to short either. -g-
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext