Wednesday, December 06, 2006

Fractals, Directional Early Move

Markets Fractal configuration points to
a reasonably directional move afater the
open. Do nok know which way yet.

15 comments:

boris said...

Looking down at this time.

boris said...

The day before yesterdays projection of the top for yesterday 10:25 looks more and more bright, but I am not short QQQQ, well buss comes everyday in this business, no worry. Still the craze holiday times are upon us.
Good Trading

Kindspirited, son nature may not be so cruel after all let us watch how this develops. Good Morning to you.

boris said...

There seems to be a good support here for QQQQ at 44.15-44.20 area.
Let us see if it holds.

boris said...

We will need acceleration on the downside here to confirm, we are in a meaningfull down move. We could get it too... Let us watch some more.

boris said...

Sor far frojecting 44.03 low

boris said...

projecting 43.95 low

boris said...

projecting 43.85 low or lower.
Projected low arrival time 13:00-14:00pm

boris said...

correction projected low is 44.75 or lower.

boris said...

If we are fooled with this early move by QQQQ then the low is already made and the high will be seen around ~13:30pm.

boris said...

now you see why I am staying on the sidelines, in this thin market.
It does no make up its mind easily

kindspirited said...

One thing to consider, perhaps? is the p/c ratio, CBOE web site says .77, perhaps investors do not believe the decline can start, are buying any little sell off, I would worry if there were more puts sold this morning(?)of course most of the call buying is in equity calls, as most index puts are bought to hedge a long position. any thoughts?

boris said...

Hi Kindspirited,
I am frank in stating that I am not an expert on options, just like I do not believe anybody is. The probelm with any and all numbers is that they are secondary to the actually action that takes place today/everyday in the market. Unstable conditions that you point to may last long time, unfortunately, that is like there being flamable substance around, but never seeng tha match that will ignite it.
The options situation as I see it is not too bad from the shorts point of wiew, the problem is that on the absolute bases as, as you note, it is not goog enough and on a relative bases it needs that match to cause the move down as we would like to see. So we are sitting here looking at the thin market conditions and thinking where is "the match".
I do not see yet, which does not meand it will not come in time for you to get your money back.
It is just that probabilities are not getting better on a day by day bases.

In ane case, I believe that we will make a some kind of a top around FED meeting 12/13 Dec. and we can expect a kind of a drop you need to make your positions whole.
We can not ignore the possibility that it will not happen, in time.
GOod trading.

boris said...

Well, the time is approaching,
what will it be? if this is the low
at 13:00Pm+ then the run must start anytime now.
Good Trading

boris said...

Market has spoken,
It chose to make high for 13:xx pm.
Ok, if this does not get much stronger, it could actually signal that perhaps we are going to go down from here into the weekend, instead of going up as that was another path outlined by us.
Good Trading

boris said...

Looks like we have put in the top for 13:30pm. Good GUess. Also notice that this move had no strength. Do we see the break point coming. Could we possibley be in for 12/13 Dec Low? Not the high?
In this thin market everything is possible. I/we need to use all intraday trading mastery to stay out of trouble and eventually emerge on the right side. No need to hurry things.
Good Trading