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Strategies & Market Trends : Sharck Soup -- Ignore unavailable to you. Want to Upgrade?


To: cthd who wrote (23276)5/16/2001 5:02:41 PM
From: Ron Dior  Read Replies (1) | Respond to of 37746
 
cthd the shorts are a big part of these moves to the upside. The bad economic picture keeps them positive that the stocks are overvalued so they keep selling thus fueling more unfound rises. This in turn causes real buying to happen as greed kicks in and buyers don't want to miss the run. This is what happened today. Short covering started the rally and real buying jolted it forward.

This will only stop when greed turns into fear then the short sales will drive the market down because there will be no buyers left. This can only happen when A. the shorts get fed up. B. the prices get so high that the buyers dry up. Until one of these two things happen, the bull will live.

Ron Dior