Tuesday, September 9, 2008

Added FCX and DIG at 66.5 and 65.3

I am thinking that LEH and FNM/FRE couple created some sort of fear that triggered this sell off. These were the most widely-known problematic issues, once their pain is calmed (by death) I think the market will begin next leg up.

4 comments by xTrenders :

IC said...

I am not sure LEH dying would be viewed favorably by the market :) It does seem that we are way oversold here, of course that is where crashes come from. If the markets are signaling all out deflationary collapse we will be really sorry with our oil holdings. Then again our portfolios may not matter at that point.

Shawn said...

Atilla/Solomon,

Market is tanking big, contrary to the prediction.

However, smart money OEX Put Call shows that they are buying calls big time. But I remember Atilla said this could be due to Smart money selling Calls too.

Any take? Thanks

BH_Trade said...

If you want LEH to die to create an important low WHY are you buying in advance of the event?

Shawn said...

Hm ... the more I looked, the XAU and therefore gold is resembling George Lindsey 3 peaks and a doomed house pattern.

And the nightmare is, Lindsey chart says XAU should bounce by now. If we break new low again tomorrow .... Gold Bless us all.