Critical time for bulls now -close remarks

Critical time for bulls now ! Bears have fought back very nicely. Take NASDAQ as an example:
  • Bulls lost the 200MA again
  • As mentioned yesterday, if bulls lost the 1664.19 [1] a new lower low and a sharp down wave is very expectable
  • Losing a golden crossing in 3 days should be a strong warning sign
  • Tomorrow, bulls must fight back, otherwise, see NASDAQ at 1600 level pretty soon,my brave forecast.
  • QID might have a rest tomorrow, then it will try again to break out 40 level.
Very interesting, I noticed EURO is very bullish today, and hits 1.392, a new high. The divergence between the US stock market and EUROis rare, what's the meaning of this divergence ? Any insight for our future trading ? Let's watch and learn.

Ben Kevan mentioned yesterday, they lowered the expectation from 640K to 625K [2], and today we know such lower of expectation activity signals MMs want to drag down the market very well. This reminds me the RIMM ER, lowered expectation -> beat -> Gap up and run.

Today's market close forecast is correct [3].

Finally, I want to call attention to GM. The behavior of GM today reminds me BAC in March when it is about $3 . The market behavior is so similar. I am watching GM's next pull back very closely, if it can not breaks down $1.00, the bench mark, I will buy in. If you have some opinions on GM, please share with us. Especially, any possibility for bankruptcy ?

Actually, I have called GM very early,see my old post in [4].

I plan to write something to analyze GM, and double check if GM can become the next BAC, I mean 5 bagger in 2-3 Months. Keep watching !


[1] the 1664.19 support

[2] 640K to 625K

[3] close forecast

[4] GM calls








at 5/21/2009 04:25:00 PM

9 comments:

  1. AnonymousMay 21, 2009 at 4:59 PM

    very nice post. a lot of helpful info. Thanks a lot.

    ReplyDelete
  2. AnonymousMay 21, 2009 at 5:02 PM

    Very nice GM calls. tiger, thanks a lot for sharing. --steven

    ReplyDelete
  3. AnonymousMay 21, 2009 at 5:19 PM

    GM can not go bankruptcy, IMHO.

    ReplyDelete
  4. AnonymousMay 21, 2009 at 5:22 PM

    I want to say the same thing as others. Thanks for your sharing. I did learn and get reminder from your blog. And I hope someday I can do the same way as you did.

    ReplyDelete
  5. TigerMay 21, 2009 at 5:26 PM

    Thanks a lot for your comments and sharing your views.Let's learn from each other and become good traders and investors.

    Tiger

    ReplyDelete
  6. AnonymousMay 21, 2009 at 7:04 PM

    GM's reverse splits could be a night mare ..

    ReplyDelete
  7. Ben KevanMay 21, 2009 at 7:31 PM

    Anon @ 6:04

    That's one reason I'm not willing to hold longer then a few hours.

    Shorting Oil seems like an easy play for a few points.. I'm torn on the GOLD play.. do I take the 25+ PPS in 2 months.. or let it go up some more (maybe just throw a stop at 60).

    EURO is conditionally bullish since it seems that's the "go to currency" if (or when rather) people dump the $USD as their reserve currency (ala Russia recently).

    I'm not going to do much tomorrow.. esp not with technicals.. too little volume to make it make sense.. .. GLTA

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  8. AnonymousMay 21, 2009 at 9:03 PM

    GM must be gone, otherwise, a potential bomb for the market. just my 2cents.

    GLTA

    ReplyDelete
  9. TigerMay 21, 2009 at 9:40 PM

    Ben and all,

    two concerns for GM:

    1. bankrupcy
    2. reverse splits

    Tiger

    ReplyDelete

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