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 : The Stock Market Bubble
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Terry Whitman who wrote (1081)8/11/1998 12:22:00 PM
From: Les H  Read Replies (1) of 3339
 
From the desk of modern day bubble-onia:

BOTTOM LINE ON THE MARKET; August 10,1998

On August 5, at our 4:05 Eastern update we bought the OEX August 540 calls
at 7 1/2. We sold this position at 9 on August 7 for a 20%.

WHAT TO EXPECT NOW:On Friday, high up-tick readings were recorded starting
at the 1100 level on the September S&P's (which a +1059 up-tick was
recorded) and persisted up to 1108 area on the September S&P's in which 832
up-tick reading was recorded. Up-tick readings exceeding +600 appear near
short term tops. From the high at the 1108 area the market pulled back
closing at 1094.70, forming a bearish candlestick pattern called a
"Shooting Star". We have found a lot of bearish "Shooting Star" highs are
re-tested. If the high of this "Shooting Star" is re-tested (which is
Friday's high at 1108.50 level) and high up-tick readings are recorded that
exceed +700, a potential sell signal could be triggered. To officially
trigger a sell signal the market would need to draw a bearish candlestick
pattern on the next high up-tick reading day or the day after. If a sell
signal is generated near Friday's high at the 1108 level, our down-side
target would be the 1060 area which is the previous low that materialized
last Tuesday. For longer term, for about the next two months, we think in
general the market may develop a trading range were 1060 area is support
and the 1125 area is resistance.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News