Markets that won't go down go up!
The bullish behavior of the markets continued today unabated. The bears tried to wrestle a big down day out of the bulls with little success. It finished down alright, but never doubt that today was a victory for the bulls. A 150 point down day for the Dow was turned into a puny 41 point loss.
Something you should know about bull market behavior.....the market will sell off in the morning and then rally into the close, just like today. It's generally understood that it happens that way because big institutional buyers are active in the afternoon. So the little guy sells in the morning thinking a big move down is at hand only to be out voted by the big guns in the afternoon part of the session....so they say.
Any how, the market doesn't appear to want to go down, and markets that don't want to go down usually go up. It could go down. I think it needs to go down. The overbought indicators say it should go down. Its GOT to go down! WHY WON'T IT GO DOWN?
If you feel that way tonight, welcome to being bearish in a bull market environment. That's what it does to you. That's the emotion it brings out. And just when you're about ready to buy into this bullish potential, it'll give you one of those nasty little sell offs to convince you not to give up on the bear just yet.
But understand this tonight....this is a cyclical BULL inside of some fandangled type of secular BEAR. We're still trying to figure out just exactly what path this bear's going to eventually take. But for now I believe the bull is safely in control.
Any weakness could be bought in here. 820 is a very powerful level on the S&P. If it breaks that I'd watch 800 then 780. I doubt we'll be fortunate enough to see anything lower. These "V" bottoms don't usually retrace much. It'd take a break below 740 on heavy volume to turn me intermediate term bearish. Perhaps a GM bankruptcy could turn us in that direction. Never say never.
Gold was weak, surprising lot of people today. Doesn't printing money mean that gold goes up and up and up and...you get the idea. I think it will at some point, just not yet. Remember my saying: "It ain't gonna matter till it matters. But when it matters...it's gonna matter a lot".
Something you should know about bull market behavior.....the market will sell off in the morning and then rally into the close, just like today. It's generally understood that it happens that way because big institutional buyers are active in the afternoon. So the little guy sells in the morning thinking a big move down is at hand only to be out voted by the big guns in the afternoon part of the session....so they say.
Any how, the market doesn't appear to want to go down, and markets that don't want to go down usually go up. It could go down. I think it needs to go down. The overbought indicators say it should go down. Its GOT to go down! WHY WON'T IT GO DOWN?
If you feel that way tonight, welcome to being bearish in a bull market environment. That's what it does to you. That's the emotion it brings out. And just when you're about ready to buy into this bullish potential, it'll give you one of those nasty little sell offs to convince you not to give up on the bear just yet.
But understand this tonight....this is a cyclical BULL inside of some fandangled type of secular BEAR. We're still trying to figure out just exactly what path this bear's going to eventually take. But for now I believe the bull is safely in control.
Any weakness could be bought in here. 820 is a very powerful level on the S&P. If it breaks that I'd watch 800 then 780. I doubt we'll be fortunate enough to see anything lower. These "V" bottoms don't usually retrace much. It'd take a break below 740 on heavy volume to turn me intermediate term bearish. Perhaps a GM bankruptcy could turn us in that direction. Never say never.
Gold was weak, surprising lot of people today. Doesn't printing money mean that gold goes up and up and up and...you get the idea. I think it will at some point, just not yet. Remember my saying: "It ain't gonna matter till it matters. But when it matters...it's gonna matter a lot".
Comments