No Short Base

The biggest issue this market has is that I don't believe there is a large short base. On a day like today it is usually the shorts that get a rally started. On the positive side there are not many bulls either.

7 comments:

Anonymous said...

There is a graph on bespokeinvestment showing the 20 largest global economies and their distance from the May lows...

China broke to new lows

us ... .16% away
ftse .45
nikkie 1.3

global economies are collapsing. Even if ours doesnt
the stock market will decline with the globals.
The p/e for s&p is too high, overvalued...ect ect

Anonymous said...

1050

the lowest the s&p has closed so far this year.

Lower lows people.

Anonymous said...

vix back above 30

I wonder if Europe will default on Thursday? Maybe next time the bills are due.

Onlooker said...

Ugly action. I think we break down again. Can't see bouncing off these levels with any gusto at this point.

We're gonna see severe oversold levels again and it will be catching a falling knife to buy them too quickly.

I've taken a small short position after mulling this over and seeing the action since the open.

Anonymous said...

http://www.thestreet.com/story/10794872/1/this-markets-just-too-high.html?kval=dontmiss


for all you fans out there.

Anonymous said...

10 year under 3% who's gonna buy our debt!!!!!

Anonymous said...

I support the blog author cos I am also shortterm long QQQQ calls as of this morning. QQQQ technically downed 9 days in a row including today ;)