Great Rally, But Where's The VOLUME???
Seriously! Does someone want to explain this? We have a nice rally on all the major indexes but once again, volume is light.
That really makes me doubt the strength of this move.
So, I'm putting my money where my mouth is and buying a few hundred QID for the swing account. I bought 300 at $43.45.
Time will tell. But I have to follow my conviction here and make this trade. If the "big money" believed in this move or liked the market here, they'd be buying hand over fist. That's just not happening.
That said, should we get a rally with good volume, I'll cover this position immediately.
UPDATE: Art Cashin, one of the only people on CNBC I listen to just said that this rally is like a "platypus." Why? "It's got some odd points to it... low volume, financials aren't really participating and 50-60 Dow points are in 3 stocks..."
5 comments:
I fucking hope you're right. I'm going out of town and leaving my shorts on, with little hope of being able to intervene before Tuesday.
Stochastics (5,5,3) and (5,3) should rise the next few days till at least the Fed meeting...
On NDX that is.
Wood,
Well, we'll see. One thing I learned about the QID is that it's really no good to trade intraday... it's rather thin and gappy.
-DT
Moom,
Not only am I a Dinosaur, I'm also a simple Dinosaur. I don't even know what a stochastic is. I look at price movement, volume, and moving averages only.
So I'm not sure if you're saying the market is going to go up or down. I'm hoping you agree with my position and that you think it's heading lower... at least temporarily!
-DT
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