And yesterday during the big drop, the call warrant I'd had a day or two before spent the whole day with the offer nearly twice the price of the bid. I didn't check what the price really should have been, but I think the bid was way too low - not nice for anyone who might have still had some and was wanting to get out.Shafting traders is profitable for sure
Mkts trend ...........Mkts reverse
Sentiment is important in recognizing technical positions
trends culminate with one sided sentiment and a uniformity of trading methods
nothing succeeds like success until it doesn't
With everyone long the same stocks
It is No mystery what gets sold down
Sentiment can be measured by various indicators
Best to look past the behaviour of cap weighted indexes or proxies
and examine whole mkt behaviour
Here is a total mkt 2% bullish percent chart............
The software plots every stock on the ASX as a 2% x 3 P&F chart
Then plots the % that are on a simple P&F buy signal as a 1 x 3 P&F chart
That will oscillate between 0 and a 100
with 30%, 50% and 70% important levels
Also relevant is the P&F buy and sell signals themselves..
( Any reassertion on a P&F chart should not be ignored )
Bull Confirmed - Bull confirmed is, just as it sounds, the most bullish signal the index emits, giving traders a green light to take on multiple long positions with confidence. In the bull confirmed phase, the Bullish Percent Index has a column of X's on its right edge, and this column must have surpassed the next column of X's over to the left by at least one square. Since a market that is in bull confirmed mode is upwardly trending, directional indicators such as MACD are more appropriate than oscillators during this phase.
Bear Confirmed - Again, just as it sounds, the bear confirmed phase is the most bearish signal the index gives. In this mode, the Bullish Percent Index has a column of 0's on the far right edge of the chart, and this column must surpass the next column of 0's to the left by at least one square down. Since a market in the bear confirmed mode is trending downward, only short positions should be considered during it, and directional indicators are again the weapons of choice.
Bull Correction - The bull correction mode, following only a bull confirmed phase, is a sideways market or a market experiencing a correction after a bull confirmed phase. The chart features a column of 0's on the right edge that has yet to pass the last 0's column. Long positions should be taken with caution because a bull correction can reverse into a bear confirmed. During the bull correction mode, look to oscillators like stochastic for insight into timing trades.
Bear Correction - A market in the bear correction phase, following only a bear confirmed phase, is also a sideways market, and it is experiencing a correction from bear confirmed. A bear correction features a column of X's on the right edge of the chart that fails to surpass the last column of X's. Again, use short positions with caution, and use oscillators instead of directional indicators with the charts.
Bull Alert - The final two phases of the Bullish Percent Index involve overbought or oversold conditions. On the Bullish Percent chart, readings above 70% are considered overbought, and readings below 30% are considered oversold. The bull alert phase is simply a reversal into a new column of X's from below 30% on the chart, and it indicates that the index is oversold and due for a bounce. As soon as the index signals a bull alert, traders can take long positions with caution until the X's cross back above the 30% line.
Bear Alert - A bear alert is simply the opposite of a bull alert, except to signal a Bear Alert, the index must be crossing below the 70% line with a column of 0's. It is important to remember that for a bear alert to signal, the column of 0's must actually cross back below the 70% line. During a bear alert the market is overbought and due for a sell-off. Take short positions with caution until the market reverts back to bull confirmed. During Alert phases it is a good idea to take quick profits (10-15%) because there is a good chance the market will reverse.
Crossing of the 50% line is also a very important indication ...........
I think if You integrate this with an Index chart and esp look for confirmation from Volume ( Where is the following .. With the buying or the selling )... You have a useful map delineating where We are in regards to sentiment...
The real test will come when mkts head down again...
motorway
( maybeThe low risk area below 30%: Almost everyone who wants to sell has already sold. ( but only ) Once the indicator starts moving up from this area (indicated by reversals on the p&f chart of the bullish %) it is time to start accumulating growth stocks and to attempt bottom-fishing in stocks at multi-year lows.
Bless those media muppets with their silly headlines. marketwatch.com is currently running a headline that says "Apple shares cored"
A Cap Weighted index is in a sense unreal
What does it mean that it is at some level it was in the past ?
Does it mean all the constituents are doing exactly the same thing ?
Are the constituents even the same ?
Dodgy H&S, but the double bottom on that gives me a target of 5700.Upside down head-shoulder formation?
Dodgy H&S, but the double bottom on that gives me a target of 5700.
I'm with Wayne, waiting for a major lower high, where that will be and how strong this next rally is could be telling. At this stage I'm thinking somewhere between 5900 - 6000, could depend on how much fight the bulls have left in them.
Would be expecting another test of 5200 at some stage.
I'm with Wayne, waiting for a major lower high, where that will be and how strong this next rally is could be telling. At this stage I'm thinking somewhere between 5900 - 6000, could depend on how much fight the bulls have left in them.
Would be expecting another test of 5200 at some stage.
Hey, it's quiet here today.
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