Too many people expect a correction

[sponono]

It might just not come soon enough http://www.bloomberg.com/news/2014-05-21/trader-spends-13-million-to-bet-vix-will-jump-56-by-septemb...

[#2]

That was just 1 trader, that bought that position. Can hardly call it everyone. That trader took a similar position earlier in the year as well.

[#3]

a lot of people expected a correction in 2008 and it happened, nobody expected the crash that came afterwards.
Just saying these truths every1 keeps punting like if every1 expects it it doesnt happen is a load of rubbish. They have no basis or foundation on the market.

I couldnt find a forum that didnt expect us to hit 40,000 and we hit it, then all the different forums expected us to hit 45,000 and we did...so what does that say?
Everyone is always right or the truth of the saying is rubbish?

[#4]

well, by very definition - if the market is hitting 5k - then there are clearly buyers out there. So not everyone expects a crash or correction. I

[#5]

well, by very definition - if the market is hitting 5k - then there are clearly buyers out there. So not everyone expects a crash or correction. I

[Preston]

This market is being set up by the traders for a fall. Watch after announcement.(OMO)

[#7]

to throw a spanner in there, how do u know this simply isnt just shorts covering?

[sponono]

the article mentions two traders, Garth is also bearish, Wayne McCarty is also not so comfortable, Preston has been crying this market is cooked up. There are many people

[sponono]

In 2005 the TOPI broke out at 11,000 points. It did not stop until it peaked in 2008 at 31,300. Thats 185% in 3 years. Could we see 31300*1.85=57900 points on the TOPI only time will tell

[Preston]

Thanks beautiful.

[SimonPB]

that's a lot of short covering

[kwagga]

Every man and his dog is expecting a correction. So experienced traders know this and they also know that if they push just a little more, that would lead to short covering. They do this over and over until we reach maximum froth and then they let go. No more buying support, and then they sell and all the unexperienced shorts that were taken out again and again right to the top scramble to get in at any price. Boom...and when they are finally in (and the cold sweat finally subsides), the experienced guys start buying again.

[Preston]

@kwagga, I hope you are still holding AVL?. The market is looking for an "event" for a drop and i feel this monetary policy announcement could provide that opportunity. Got a perfect hedge...short FSR and long VOD, either way, my little money babies are s

[Preston]

@kwagga, I hope you are still holding AVL?. The market is looking for an "event" for a drop and i feel this monetary policy announcement could provide that opportunity. Got a perfect hedge...short FSR and long VOD, either way, my little money babies are s

[#15]

not really, theres 155,000 open interest and 6,000 contracts covered (some were obviously buying and some covering), so not as much.

There were foreign hedge funds that held a couple of million rands in shorts on our resources, just saying we have NO idea the size these larger hedge funds are playing with.

[kwagga]

Why would a long on Vodacom protect you against a drop ? Unfortunately sanity prevailed and I sold out, but@ a nice profit (I can't complain).

[Preston]

1) I am short "Fsr". A drop will add to my Fsr profit, which will be offset by a loss on "vodacom" long 2)Vodacom has declared reasonable dividend and vodacom share price has not increase in relation to the ALSI so this could be a catalyst to attract dividend bargain hunters.

[Preston]

1) I am short "Fsr". A drop will add to my Fsr profit, which will be offset by a loss on "vodacom" long 2)Vodacom has declared reasonable dividend and vodacom share price has not increase in relation to the ALSI so this could be a catalyst to attract dividend bargain hunters.

[SimonPB]

so did we crash after the MPC announcement of nothing ??

[Preston]

@simon, the shakeup (not a crash) is one day closer.