The action is clearly bearish. I shorted earlier in the day and I will ride it out for all its worth. FMHR has 3 to 1 bulls, despite the sluggish action. I am seeing call buying increasing over the past couple of hours. The volume is very low, despite it being options expiration. Looks like the sellers are waiting to sell a rally. The market seems to be setting up for further selling. I am bearish here for the close.
P.S. - If we don't have a selloff in the next 3 hours, due to options expiration effects, I expect heavier selling on Monday.
I love following your blog. Agree with you and I generally look at 1:30 for a reversal and if none it will usually continue the trend for the morning. Thanks for your time and effort.
ReplyDeleteI thought you would look to get long here dawg.
ReplyDeleteI revised my cover target to 1000 now.
NYSE Adv: 1013.. Dec: 1954
ReplyDeleteNasdaq Adv: 943.. Dec: 1666 as of 2 PM ET, after this little bump up.
Breadth is poor, small caps continue to underperform, OIH is notably weak today, and oil is selling off into their close.
This market has avoided a selloff today, Monday should be a classic post expiration hangover day.
Could this finally begin an IT selloff which takes SPY to its Sept lows like IWM, IYT and SMH?
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