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This bear rally is great but is it running out of steam????

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Ninja
Super Contributor
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14 REPLIES 14
scandal
Super Contributor
and you say this because? I am curious because i feel the same but at the same time i feel i am not justified because 1. US holiday today and tomorrow so no direction from their markets
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Rovert
Super Contributor
its a half day trading on the DOW tom or did i read it wrong
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dilligaff
Super Contributor
Yip - Closed Thursday, closing early Friday
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Not applicable
My opinion (which is always completely wrong) is that there must be a turn down within a few days, although not quite now. (1) Can the Dow go up for the 5th session in a row tomorrow? Since September, this is the first time it's been up more than twice in a row. (2) The VIX has dropped substantially, which means many of the erstwhile shorts are shorts no more. There is precedent, however, for the VIX to drop even more before the turn. (3) Previously, when the downturn was nigh, the press was filled with articles shouting "Now is the time to buy!" The absence of such euphoria suggests to me that we are not at the peak quite yet.
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john_1
Super Contributor
Ya I am secptical..the FTSE has not made a new high for 2 days it tried and failed twice today to break its down trend yet we are up 600 points...
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SimonPB
Valued Contributor
ppl, a bear rally can last for months and thousands of points. Wait for it to tire, don't try and pre-empt it otherwise your closing of shorts will just prolong it.
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Not applicable
The STX40 could not break 1920 today, and after that 2000 is even more solid. I'd short a reversal off any of those 2 lines.
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WR
Regular Contributor
lots of "good news" this week, so a rally. BIL cut is cord from Rio, China dropped rates etc..etc. EU introduced a stimulus package. MArket liked it, and rallied. However, looks like good news is finished....reality should set in next week, as this weeks market stimulus does not change the fundamentals. If we retest the lows, and do not break lower, then we have solid base to build on, if not we can go lower. I am short on BIL from 180, HAR and GFI. Hopefully the next two weeks can bring some down side as most indicators are oversold.
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Ninja
Super Contributor
Hi D.R....I presume you meant most indicators are overbought....I think BIL will turn however there is no sign of that happening yet, ie no reversal day down or trend reversal - i see next resistance at R188? I thought KIO set itself up nicely today for a short back down to the R130 mark....very overbought, clear reversal day in the face of a strong up day on the JSE and REsi? If BIL goes through R188 head for the hills, maybe look at KIO short tommorow? I tend to agree with you...once all the good news is forgotten and we get past Thanksgiving we may see a red week next week....
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Not applicable
I disagree, think KIO will pullback to +-15000 then rally.
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Not applicable
BIL broke its reverse H&S neckline on the daily chart from 29 AUG, so it should have more steam
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Not applicable
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Not applicable
KIO is the share code of Kumba Iron Ore.
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Trying
Contributor
And AGL ? Do you think we can see another run today and next week ?
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