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Strategies & Market Trends : The Options Box -- Ignore unavailable to you. Want to Upgrade?

To: SecularBull who wrote (1114)	6/1/2000 3:27:00 PM
From: Jill	Read Replies (1) \| Respond to of 10876

I agree w/ you. Buying today makes no sense. Bob's cc do make sense tho. That SDLI! What a babe! <g>

To: SecularBull who wrote (1114)	6/1/2000 5:39:00 PM
From: RocketMan	Read Replies (1) \| Respond to of 10876

I agree, LoF. The bears have been scared lately (as they should be), and shorts have been covering ahead of tomorrow's numbers. I wasn't impressed by today's volume -- this was more indicative of short covering than of a broad rally. I suspect we will continue to rally tomorrow, as long as the numbers aren't disastruous, then come back down as we near the FOMC meeting. There is too much uncertainty there to support a long-term trend reversal. I will look to get back in once the Fed is done or once the economy goes into recession, whichever comes first. Besides, I suck as a day trader.

To: SecularBull who wrote (1114)	6/1/2000 10:00:00 PM
From: t2	Read Replies (2) \| Respond to of 10876

You have to remember that upward pressure at this point is undoubtedly causing a short-squeeze. I would expect that we will have some big down days when the short covering subsides, and the buyers retire to the sidelines. I do think that we have strong support at ~3100. I think that in order to build a solid base, we'll probably retest near that level. The difference though is that I would expect the pullbacks to be less and less broad-based, and possibly not as severe as to go down to 3100. IMHO, today is not a day to be buying. Buying should've been done ~3100. Agree. Yesterday, people took profits (or shorted), fearing that selling would materialize today ahead of the employment report. The nervous money made an exit on Wednesday to beat the rush, IMHO. That also gave the short sellers hope of being able to cover on a dip today. When the selloff did not take place, then the real short covering began---in addition to some real buying. I find it strange that people don't try to do bottom fishing. Once the Nasdaq downturn stalled, one had to take an aggressive position either in calls or margin---I prefer being fully invested (not on margin) and then buying a lot of calls---both short term and leaps (or even Nov/DEC). Don't really believe in the retest theory. However, it is possible that late in the summer after we get close to 4000, we fall back to about 3500 (or even down to 3300). My reason for this is that summer months are not good for inflows into the market and the old TA could work. If this had been October, I would have taken a contrarian view to the TAs that appear on CNBC predicting retests. Inflows into the market seem to be the key that messes up the experienced technical analysts---and of course provide the opportunities for momentum traders.