Trader’s Narrative

Unless you’ve been hiding under a rock, you know 2008 is an election year in the US. Will it be Hillary? Obama? Romney? Huckabee? When it comes to the stock market, it may not matter. Just the fact that this is an election year should put a smile on your face.
Like the 4 […]

Another horrible day on Wall Street with pretty much the whole screen in red. Fear and loathing is getting thick. The only redeeming characteristic of the market is that we are seeing technical signals of extreme oversold all over the place:
Option Traders
ISEE Sentiment Index reached 60 - meaning for every 100 puts, 60 calls were […]

The market seems to be holding on for dear life at a long term support level. The mid August 2007 low on the S&P 500 Index (SPX) was 1370.60 and in mid March 2007 at 1363.98 - we closed today at 1373.20
But when I say long term, I mean really long term. As in […]

In poker, a “tell” is any change in the pattern of behavior by a player that gives insight into their strategy. It could be anything: how fast they bet, how they throw their chips in, feigning ignorance or interest, etc. You can’t really win at poker if you don’t have a mastery of tells.
In the […]

As I previously touched on, we had a 90-90 down day on Jan. 4th 2008. According to the Lowry’s study, all we need now is a 90-90 up day for a market bottom.
90-90 Day
Today wasn’t it. Although the market went up, it did so lethargically. Volume did flow in the right direction: advancing stocks […]