TC, You wrote: I'm beginning to be convinced, as I know you are, that we may have hit bottom when we get near 7400."
This is not the case! This is what they want us to believe. I am very cautious. We are going through the expiration week. And, this could be the reason for up movement. You ought to remember, many expected the big down days coming the last week of October, however, they hit it earlier and while the market was going down they did all expiration options transcations; market kept at support level intentionally and now coming back up strongly. After expiration or maybe this Friday, we get the overall picture as where this market wants to peak! We should not forget, earnings are the main factor to drive the stock market. If earnings are not there; growth is not there; warnings are out there; layoffs are out there -- we should not get fooled by this rally. They will sell into strength, IMO.
That's why, I mentioned few days ago that we should go on long side of trade mostly. However, we should get back to short side mostly after this run peaks.
Regards,
Mike Learner |
