These last few days have been, well, dismal. Due to the broader markets, my Apple short has been working pretty well -- but that's about it. If you're like me, you've been thinking that this market has become incredibly oversold, and we musts be due for a bounce. I hope you're not like me, because I've been wrong for days.
I think that most money managers are have been short the market for at least a month, which leads me to believe that a short-covering rally could come any day now. With that said, I think that after this new low we just put in (and we closed near session lows, which is important) it would not be good to have an up-opening. Mark my words: If there is another up-opening, market makers will sell it just as they have sold the last few. Don't get tricked into buying at their spiked prices. I actually believe that it would be healthy to open relatively flat, make our way toward the 1880 level on the S&P, and then have the shorts start covering. Obviously, I cannot predict the future; however, I believe that this market needs to bounce and it could come as soon as tomorrow. Personally I will most likely be trimming long positions after a bounce and sitting on the sidelines until the all-clear is sounded. Have you seen my new charting feature? It displays real-time data on any stock and allows for clean charting. Check it out here!
0 Comments
Leave a Reply. |