The Freight Train is Slowing
After a solid session was put in on Thursday, the market gave it up on an abysmal jobs number.
But one down day does not a trend change make.
We've seen a unexpected move in equities as indexes like $QQQ and $IWM are retesting their 52 week highs. The violence of the move left many overprotected or underinvested.
So the psychology we're seeing here is a handful of painful shorts coupled with many looking for a dip to buy to get back into their names.
This is on top of a $SPY options term structure that tells us traders are overprotecting in Sep and Oct options.
Those 2 psychological conditions pretty much sums up the second half of 2010, so should we expect a rally from here? Watch the video to find out.
In this episode of Stocktwits Brunch, we discuss:
- why the $VIX is not giving us all the information in the options market
- how the $FXE options are a great tell for the Eurozone Voodoo
- a simple technical price target for $AAPL
- what stock is a great pairs trade against a short $OIH setup
- why I'm seeing $VRX in my dreams
- how the China momentum names like $SINA $SOHU $DANG and other have momo left
- your individual requests
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