Sunday, May 15, 2016

Bulls missing from action ?

Latest data from AAII is giving a clear picture of what is going on in this TAPE......

Bulls have panicked and jumped ship.....

Bulls are @ only 19.2%......

80% ++ bears and neutral.....

This is the most lopsided reading since March 2009......

Any number of 70 or more combined is considered extremely bullish

We all know what was happening in March 2009......we hit the lowest point in decade.....

Thus bulls missing is a good thing......

We may be on the verge of another "monster rally"

This is the-most contrary indicator which real bulls or gutsy traders can rely on.....

@ or near bottom, everyone is sure that there is no support in this TAPE.....that is when everything turns UP for no apparent reason except being overly pessimistic......

Nasdaq RSI @ 39.55 is flashing oversold condition....

Selling has been brutal in Nasdaq and money has flowed out in a hurry, thanks to AAPL CMF is barely green @ 0.003......

Retail is slowing but not disappearing, AMZN has a fraction of that business, they are not cheapest in every category, i shop @ AMZN for few things only, rest is touch and feel @ sale prices.

I expect a rally which everyone will expect it to fail, but it should keep going with few pullbacks.

@ this stage exposure should be increased or @ maximum based on comfort level.

Good luck with your own analysis and strategy.

BLOG does NOT give buy or sell.

Saleem

3 comments:

stocktrader_1996 said...

Hi Saleem,

Sold Z @ 27.94 to take profits.

I was never wholly comfortable with the valuation, but the entry after the post-earnings pullback was attractive. I'll wait for the next direction now, and also have cash available for another choice if something comes up.

Stocktrader

Stocks100 said...

Hi Stocktrader,

Good move with Z.

Oil needs your $$$$/

Saleem

Stocks100 said...


Hi Stocktrader,

Sold NTES $160.25

Bought LULU $60.99

Saleem