Slope of Hope Blog Posts
Slope initially began as a blog, so this is where most of the website’s content resides. Here we have tens of thousands of posts dating back over a decade. These are listed in reverse chronological order. Click on any category icon below to see posts tagged with that particular subject, or click on a word in the category cloud on the right side of the screen for more specific choices.
Good evening, everyone.
I had a lot of meetings this afternoon, so my blog-writing time sort of got gobbled up.
I was delighted and thrilled to see AAPL getting slammed after-hours. For nearly a decade, AAPL has almost never disappointed the public with its earnings. This evening is a delicious exception. During the completely ridiculous run-up in price late in the regular trading day, I shorted the bejesus out of QQQ. At the risk of looking like a complete doofus in case QE3 through QE12 is announced before Wednesday, I will let you know that I have 116 short positions. (One of which, NFLX, is in a virtual free-fall this evening).
Let's get started on Part 2 of How to Predict Market Action From the 1st Hour of Trading by discussing the Heavy Market Gap-Ups.
You'll remember yesterday how I discussed gap-downs can be very difficult for the bears to hold on to the weakness. So the obvious conclusion then is that bulls would have a difficult job of holding on to gap-ups. But that comparison really doesn't work with gap-ups. They are completely different in personality and how the market responds to them.
There are a lot of major players in the market with tons of buying power that simply cannot short the market or any stock for that matter. As a result, the only choice they have is to buy or sell (short/cover isn't a viable option).
Further to my post of July 17th, once again, Oil finds itself testing rising channel support on the Weekly chart below. At the moment, it's trading in between the 50 sma (red) and the 200 sma (pink) in an attempt to break out of this range either to the upside or the downside. Its recent rally didn't quite make it all the way up to the "mean" (mid-Bollinger Band).