Same here....I say a small rally, but nothing above 1323-1324 today.....If not an inside day finishing "unch" on the day
I prefer anticipation over forcasting eventhough I think an inside day(congestion) is whats happening. After that comes the BO. Im leaning upward but I dont see why it couldnt break down.
It is so much FUN watching the bears squirm..... All this strong economic data, commodity shortages and rising interest rates and yet the stock market remains STRONG. This time IT IS DIFFERENT!
There is a market timing strategy that says: "Buy 3rd last day close, Sell 5th day close on DIA". It means to buy at close the 3rd last day before the end of the month, then sell at close the 5th day of the next month. Attached is the graph backtesting it 1/20/98 to 5/3/05. <img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=1051538>
Great work cnms2, I was wondering about that one myself. Now, for all you at-the-money and in-the-money Option players out there on the Dow, S&P500 and QQQ's, you just got a free strategy! I think I'll put it in my pocket and see how it goes. Later, Jimmy
stktrdr Registered: Apr 2006 Posts: 92 04-19-06 11:37 AM My gut tells me we are setting up for a big rally over the next couple of weeks. Bears, bears... Come on out of your cave and tell me why I am wrong.
stktrdr Registered: Apr 2006 Posts: 92 04-19-06 11:45 AM My feeling is that the rally is not being driven by fundamentals (not micro, nor macro) but by an environment of "BUY, BUY, BUY". Whether it be stocks, corporate debt or hard assets. A liquidity fuelled rally, if you will. In this environment I think stock prices can surge. Who is going to sell?
stktrdr Registered: Apr 2006 Posts: 92 04-19-06 11:49 AM In a nutshell: RISKY ASSETS RULE!!! particular favorite response!
stktrdr Registered: Apr 2006 Posts: 92 04-19-06 12:06 PM We're gonna party like it's 19,90,9....... Yea, some of y'all think my exuberance marks a top..... Go ahead then. Sell some spoos short. Not risky enough? Then sell some IWM's or ER2's. If you dare! We're gonna party like it's 19,90,9....... yeah baby!