Market Sense and Sentiment

[RCKS]

Hi Bob

I am bearish here but that probably is a signal to stay long.

I have some Calls I tried to exit Friday and hope to Mon.
but we are approaching over bought on most daily charts, which argues we test 11000 dow and 1260 spx before we go higher.

The Dow and S&P 500 look like they could run to the high's but the NDX and Comp have a lot of technical damage done to them and they will not go higher easily.

The big reason I am bearish here is seasonality, and we have not gotten as Zeev says sufficiently scared or not enough Put buying to signal a bottom, not enough fear out there. Some folks have much lower targets for the Fall (sept/Oct) ajtj99 has 1168 on the S&P 500 which will put the Dow close to 10,000 and the Comp mayb even 1800 or below.

I am not sure about the targets but if we approach those levels we will generate a fair amount of Fear and probably put in very buyable bottom.

Good trading Bob

steve