Imminent and severe market correction

[CanOz]

You can see that this is just plain crazy to think this can last! Gann, EW, heck even the the fundies are saying this is nuts.....You know when you think of the recent changes to Super...the Aus Gov't has in effect, created a PPT of thier own before the next election...digressing a tad i know.

I don't have time nor the the experience to trade this in a consistantly profitable method yet....but i've got some new books today....hopefully i can learn to trade commodities effectively, and not just shares. For in that i feel is the key the to finding a decent trend again.

I'm 90% cash, and plan to stand aside.

Cheers,

 

[nizar]

I'm 90% cash, and plan to stand aside.

Well in that case youve missed some great opportunities these last few weeks.
Stocks breaking out everywhere to be honest some days i dont even check what the index is doing, its not really relevent unless you trade the index.

 

[constable]

Well in that case youve missed some great opportunities these last few weeks.
Stocks breaking out everywhere to be honest some days i dont even check what the index is doing, its not really relevent unless you trade the index.

Must agree !! It has been fairly slap happy the last 2 weeks and the intra day ranges have been very loose.

 

[>Apocalypto<]

Well in that case youve missed some great opportunities these last few weeks.
Stocks breaking out everywhere to be honest some days i dont even check what the index is doing, its not really relevent unless you trade the index.

Nizar that is a good point as a share will perform on their own right regardless of market direction.

The health of the XAO is the health of the Australian market it is important if you want to know where u stand.

 

[CanOz]

Well in that case youve missed some great opportunities these last few weeks.
Stocks breaking out everywhere to be honest some days i dont even check what the index is doing, its not really relevent unless you trade the index.

Definitely the case for sure Niz, but its the time factor too...I guess I'm looking for a trend I can ride, either up or down, medium term. I just don't have hours in the day to trade profitably in these conditions. Great to watch though...there will be other opportunities....soon.

Cheers,

 

[chops_a_must]

Well in that case youve missed some great opportunities these last few weeks.
Stocks breaking out everywhere to be honest some days i dont even check what the index is doing, its not really relevent unless you trade the index.

Pretty much.

I don't know why people are saying "it's all forced". I've had more breakouts on my watchlists that I know what to do with (or know how to trade). Maybe I'm looking in all the right places, just concentrating on all the right sectors and all the right stocks... Doubt it though...

 

[Freeballinginawetsuit]

Feel free to post that Watchlist Chops.

 

[Atomic5]

This all looks like the the last all-out bound-for-hell run before May to me.

 

[Uncle Festivus]

The XJO is up approx 9% from the correction low in 4 weeks! Someone has turned up the speed of the mechanical bucking bull a few notches, but will it throw the rider(s) in the end?

 

[Sean K]

The XJO is up approx 9% from the correction low in 4 weeks! Someone has turned up the speed of the mechanical bucking bull a few notches, but will it throw the rider(s) in the end?

I think there needed to be a greater pullback for the market to remain healthy. On a 3 year semi log chart we're nudging the top channel resistance line. Should pull back to the other side soon. Sorry, no chart, saw it in the Fin yesty I think. On the otherhand, perhaps there's just so much money looking for a home we'll be in a sweet spot for some time.

 

[nizar]

I think there needed to be a greater pullback for the market to remain healthy. On a 3 year semi log chart we're nudging the top channel resistance line. Should pull back to the other side soon. Sorry, no chart, saw it in the Fin yesty I think. On the otherhand, perhaps there's just so much money looking for a home we'll be in a sweet spot for some time.

Kennas.
Technically what you say is correct and i agree with it.
But there is too much money that is gonna wanna take advantage of the Super laws, and this influx will power the markets at least until June 30.
In my opinion.

 

[professor_frink]

I think there needed to be a greater pullback for the market to remain healthy. On a 3 year semi log chart we're nudging the top channel resistance line. Should pull back to the other side soon. Sorry, no chart, saw it in the Fin yesty I think. On the otherhand, perhaps there's just so much money looking for a home we'll be in a sweet spot for some time.

It doesn't look like a sweet spot to me, looks to be getting ahead of itself quite a bit IMO

 

[Sean K]

It doesn't look like a sweet spot to me, looks to be getting ahead of itself quite a bit IMO

Perhaps sweet spot is the wrong phrase. Purple patch? Indian Summer? Bull run? Glory days? Irrational Exhuberance? A period in time when the cabbie is making some great trades?

 

[professor_frink]

Perhaps sweet spot is the wrong phrase. Purple patch? Indian Summer? Bull run? Glory days? Irrational Exhuberance? A period in time when the cabbie is making some great trades?

I think for it to be a bit more sustainable over the next few weeks it needs to pause for a breather. If it carries on like this, I'll start looking for a short entry
If a cabby starts giving me tips(or like my mowing man did last May), I'll open up the short regardless!

 

[Uncle Festivus]

I'm thinking that left to it's own devices the Aus market would just keep going up ad infinitum. What will be interesting is if the US reporting season disappoints (and housing, auto sales etc etc) and their market starts to correct, what will the Aus market do? Money coming in looking for a home but world fundamentals turning lower. Assuming it will take months for a global softening to work through to the Aus market, and hence affect employment, is it possible to have a situation where lending institutions could have so much money as to take it on themselves to lower interest rates irrespective of the official rate? In affect, too much money, or the Reserve bank loosing control of the monetary lever? I'm not an economist so not sure if this scenario is even plausible.

 

[>Apocalypto<]

I think for it to be a bit more sustainable over the next few weeks it needs to pause for a breather. If it carries on like this, I'll start looking for a short entry
If a cabby starts giving me tips(or like my mowing man did last May), I'll open up the short regardless!

Ha Ha Ha

That is classic Frink,

And the best part it was in May, maybe he was giving u a heads up to look for bargains!

Well I thought it was bad when the bell boy gave tips but the mowing man Jeezzzzzz

P.S Can I have his number?

 

[Col Lector]

I think for it to be a bit more sustainable over the next few weeks it needs to pause for a breather. If it carries on like this, I'll start looking for a short entry
If a cabby starts giving me tips(or like my mowing man did last May), I'll open up the short regardless!

So Frink, must assume your professorship awarded in Biogotry and Narrow-mindedness. That you are not one equipped or aspiring to the admirable talent of multitasking.
Maybe your mower-man follows that noble Oz profession as a means to get some sun & vitamin D??....as a respite from night-after-night of lucrative mental-gymnastics trading offshore markets!???

 

[wayneL]

So Frink, must assume your professorship awarded in Biogotry and Narrow-mindedness. That you are not one equipped or aspiring to the admirable talent of multitasking.
Maybe your mower-man follows that noble Oz profession as a means to get some sun & vitamin D??....as a respite from night-after-night of lucrative mental-gymnastics trading offshore markets!???

Surfing or golf is more fun... well, some might question golf being fun.

Hell, even lounging about on a banana chair on the back veranda with a pina colada sounds more appealing. I tend to go bike riding instead of more high impact outdoor pursuits, as my legs are about the only bits that aren't %$#@ed up... apart from this confounded cruciate ligament thats making life hell at the moment.

 

[CanOz]

So Frink, must assume your professorship awarded in Biogotry and Narrow-mindedness. That you are not one equipped or aspiring to the admirable talent of multitasking.
Maybe your mower-man follows that noble Oz profession as a means to get some sun & vitamin D??....as a respite from night-after-night of lucrative mental-gymnastics trading offshore markets!???

Give it rest, he was only trying to use it as an example of irrational exuberance.

 

[Kimosabi]

So Frink, must assume your professorship awarded in Biogotry and Narrow-mindedness. That you are not one equipped or aspiring to the admirable talent of multitasking.
Maybe your mower-man follows that noble Oz profession as a means to get some sun & vitamin D??....as a respite from night-after-night of lucrative mental-gymnastics trading offshore markets!???

Great, just what we need, an e-pissing competition....