Bulls are tired
05-24-2007, 11:14 AM
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Bulls are tired
Looks like the rally is over. If I played options, I'd buy puts on DIA now. The Dow has peaked and has some rough months ahead.
I did put money into a Russell 2000 Index. Small-caps have been lagging behind.
I did put money into a Russell 2000 Index. Small-caps have been lagging behind.
05-24-2007, 11:22 AM
#2
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You are going to predict a market top based on a single day and less than 1% price change? Man you're good. FYI the Russell 2000 is up 8.3% YTD, the Dow up 7.9%. I'm not sure how you conclude it's been left behind.
05-24-2007, 11:25 AM
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What I see is people taking money off the table, nervous about what Greenspan said yesterday about a correction being due "sometime". This is the same guy who warned of the .com bubble burst in 1996. If history repeats itself you should short the market sometime in 2011. Oh, and he also said we would have a recession this year.
05-24-2007, 10:23 PM
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Today didn't really mean anything IMO. AAPL looked tempting again as well, I saw it in the 110's again and it's about to either go a lot higher or a little lower over the next few trading days.
Housing is up.. up considerably. It may take some time for that to influence the market as a whole. There are several factors to say the dollar is about to start gaining some more leverage. The export business might lose a little steam but for the most part everything else will be a little stronger. Metals are starting to level out as well. It's still WAY too early to tell like cthree has said.
Greenspan knows a lot but so does Warren B who has consistently underplayed the market over the last several years [for the record I will say that doesn't automatically mean he hasn't done exactly what he has wanted to, he may have other intentions I'm not aware of besides simply making the most profit per investment at a given time].
Of course China has overheated.. EVERYONE knows that.. ESPECIALLY the Chinese government. There is still a chance the Chinese can fix their situation without a melt-down that disrupts our economy substantially.
Housing is up.. up considerably. It may take some time for that to influence the market as a whole. There are several factors to say the dollar is about to start gaining some more leverage. The export business might lose a little steam but for the most part everything else will be a little stronger. Metals are starting to level out as well. It's still WAY too early to tell like cthree has said.
Greenspan knows a lot but so does Warren B who has consistently underplayed the market over the last several years [for the record I will say that doesn't automatically mean he hasn't done exactly what he has wanted to, he may have other intentions I'm not aware of besides simply making the most profit per investment at a given time].
Of course China has overheated.. EVERYONE knows that.. ESPECIALLY the Chinese government. There is still a chance the Chinese can fix their situation without a melt-down that disrupts our economy substantially.
05-25-2007, 06:53 AM
#5
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Another thing you need to consider is the strong bond market. The 10 yr note is at 4.8% which makes for a compelling argument for buying them. When bonds go up money sloshes out of equities and into bonds. All markets compete for investment $'s.
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05-30-2007, 03:12 PM
#8
Bulls don't seem too tired to me.
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