Thursday, July 30, 2009

All Indices closed @ 09 HIGH...NICE !!!

Market surprised "so-called experts" by exploding higher......to New 09 HIGHS .....

Bearish call lately has been a "crowded trade".....

SO..never follow the crowd..they are HERD and dictated by media...which IS a great "contrary indicator"

So...what is in the store now ???

Let us analyze RSI for popular indices as of close today :

S&P 500 71.07

Dow 71.88

Nasdaq 73.54

Please keep in mind that we were much higher intraday in RSI.......

I always pay lot of attention as to how we close in indices or stocks...today was NOT technically healthy as we closed near LOW of the day.....

Volume was heavy in all indices...a sign of month end window dressing....It is long weekend in Canada so there will be light volume from Toronto area on Friday...as TSX is closed on Monday.

I will pay lot of attention as to how we close on Friday also.......

Risk/reward ratio is NOT compelling right now.......for trading purpose...thus my decision to "substantially reduce my exposure to market"

AH Futures are minor RED...

AH Nikkei is UP 1.46%

AH FSLR ER was a beat on EPS & Sales but made cautious comments about business trend...Stock Down $6.50 on 2.52 million shares..almost equal to day volume..most solar stocks were down in sympathy AH...

BLOG does not give buy or sell.

Saleem

6 comments:

standardshigh said...

Hi Saleem,

Sold GNK on uptick.

End of month. Should be interesting.

Best Regards

Stocks100 said...

Hi Standards,

Great move in GNK...

Market looks very frothy.....

Saleem

madmax said...

SALEEM Futrues are up--looking good I was shocked by sell off in market after 3PM
WOW

Stocks100 said...

Hi Madmax,

NEVER be shocked with any market action...it is all part of the TAPE...it self-adjust in nano second.....

Saleem

standardshigh said...

Hi Saleem,

V calls paying off quickly as V retreats.

Sold CHL calls AUG 55

Market IS looking frothy.

Best Regards

Stocks100 said...

Hi Standards,

Great idea to do covered call on V,CHL,GE......

Next week it will be challenging except for few sectors.....

I am controlling my impulse to buy in attractive sectors????

Saleem