<he early drop was just to run the stops set by the longs
........no more , no less .....>
<Well, then we agree. Except I am sure that the sharp spike down, DID cause some selling.>
Even more complex than that, if you want to look a bit deeper.
If you noticed, there was no closing of the gap down Open. So no one could get a "good" position to short from.
In other words, it was "worked" both ways. If the market sold off because of what may have been perceived as "bad" news, most would not have a good point to have established a short from.
If the market rose from what could have been considered to be "good" news, the longs were stripped out first.
The bulk of the gains....no matter which way....would go to the fewest of traders.
Some things never change and when push comes to shove, that's the way to bet. It's the only reason I stayed long through that.
EDIT By the way, you might also notice that they closed the Gap Down on the SP8Z from last week, taking out a "magnetic" attraction that in effect allows the market to come down more than one might expect.
Perhaps, although I don't think so yet, a reversal to a downtrend. |
