Thursday, April 23, 2009



Anonymous said...

Maybe they are preparing a massive short squezze for this market. Look at the financials. The strengh is awesome.

WFC +11% very near the High of this rally (21).

JPM very near the 34. Many financials are so close to make new highs that I wouldn't be surprised if one of these days we have a huge +10% on the XLF, breaking the 11.30 ressitence.

The Bear Case is loosing steam cause as time pass and the market don't fall, all that elliot wave Patterns )Ending diagonal or Rising Wedge) are put in doubt.

Today we should have seen some acceleration to the downside, but we haven't. So what happen to this market??

I think a massive short squezze leaded by financials can't be ruled out. The rally on the last 20 min. on the XLF was really huge boys. It could be the Goldamn Boys pushing the market, the FED, the PPT, really I don't care. But the thing is we have a nice rally in las 30 minutes, that got FAZ to hell.

I'm waiting to see a really huge spike in volume on many financials making new highs. That would my my siganl to go heavily Short this market, the final violent distribution. It seems they are trying the retail to think this market is out of fuel, so we go Short, and then when Shorts are in they suck us hard. Every elliotist out there is calling a 3 wave corrective pattern ending on friday's high's. I am not so sure yet, they are right.

Stewie said...

"Today we should have seen some acceleration to the downside, but we haven't". You said it!
That's exactly what i was telling myself mid day. The bears have been waiting for this moment for a weeks now, and they could NOT do it, what does that mean? More upside coming...

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