Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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 : Stock Attack II - A Complete Analysis -- Ignore unavailable to you. Want to Upgrade?

To: ajtj99 who wrote (33218)	3/26/2002 9:21:32 PM
From: TechTrader42	Read Replies (1) \| Respond to of 52237

Thanks for the link, ajtj99. Your numbers seem to be saying the opposite of what the CI's are saying. Bernie Schaeffer spoke today on CNBC on the issue of sentiment, citing the low values for the VIX. He noted that contrarians would suggest that historically, those numbers would seem to indicate a correction before long. schaeffersresearch.com

To: ajtj99 who wrote (33218)	3/26/2002 9:24:24 PM
From: bobby beara	Read Replies (1) \| Respond to of 52237

aj, it trend (21 dma) is still moving down from a low in late february, which remains in the bullish camp. stockcharts.com[w,a]daclyyay[dd][pb21!d15,2!a.57][vc60][iUb14] at the low in late february, option traders and rydex traders were exhibiting sentiment close (p/c) and at the sept bottom (rydex) while the averages were well off the bottom. Could last week been a major top in a bear market rally, sure it could but the trend is up since the sept lows, and the onus is on the bears to take the averages below the february low to put in a lower low.

To: ajtj99 who wrote (33218)	3/26/2002 9:43:03 PM
From: TechTrader42	Read Replies (2) \| Respond to of 52237

Something further regarding your observations on the put/call ratio and Bernie Schaeffer's mention today of the VIX. The VIX, of course, reflects demand (and prices) for puts and calls. Increased demand for puts means higher prices and higher volatility (and higher risk). The reverse is true right now. The put/call ratio is based on put/call volume. Now this may be a silly question, and maybe you or Paul or someone could help out, but could the emphasis on volume alone be skewing things to some extent? Maybe one has to look more closely at prices to see what the real demand is. Also, given the volatile nature of the market at this time, maybe there's more hedging going on, on both sides -- hedged longs and hedged shorts. Since the trend hasn't been clear a lot of the time, maybe the idea has been to make money regardless of direction, either way. Any thoughts? (Bobby B.'s comments on lithium and bipolar disorder might speak directly to this market, funnily enough.)