You're right that IOMG is probably going to close higher than it opened for today. However, I beleive that 27 was the short term peak, and we'll see IOMG slowly deteriorating as it has for the past two months as people (like myself) take profits. I may be wrong in this assumption, but I beleive that we'll see IOMG closing at around 25 and a quarter today, and dropping a quarter to a point a day for the next several weeks or until the next set of good news arrives.
You are correct in that the Fed did recently meet, and decided not to raise interest rates. However, I beleive that we "dodged the bullet" and the next time they do meet (in the "long" short term) they will raise rates, and then we will see rapid drop-offs.
I am optimistic in the long term, but pessimistic in the short term.
For those of you who are going to panic, stress out, and sell once IOMG hits 20, sell now. (I saw too many cases of people panic selling at 13).
Summary (Just my opinion):
If you're long: hang in and reap an extra 4-6 points at the end of 4Q.
If you're short term : Sell, or sell half, buy back at 20-21, make 6-11.
I like the extra risk for the bigger pay off.
It sure has felt good to make 100% profit in a weeks time, but the shorts are already squeezed out, and I can almost guarantee we won't go past the heavy resistance at 29 in the next week. IMHO we've SQUEEZED dry.
Happy Trading.... |
