Thursday, October 29, 2009
Not like end of September
The last time we had a string of down days was at the end of September. During that downswing, there was fear of a bad nonfarm payrolls number which came, but we bottomed and rocketed higher for 2 weeks. We had the same fear of a bad GDP number which didn't come as Goldman Sachs predicted and we've rocketed higher today. But, the big difference is that last selloff was accompanied by more fear and more put buying than this past selloff. Also, this selloff is similar in terms of S&P points (about 60) but worse in terms of breadth, a negative divergence.
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