Replies to post #31116 on Profunds index and sector trading (PRO)

[Gizmo]

This chart suggests a bottom in the Semi's as they relate to other commodity related stocks. The presumption being that Semi's have become largely commoditized.




POG relative to Spx. If recent ratio holds suggests a high in Gold or a low in Spx. Spx could decline with POG falling harder to keep the relationship intact.

[chainik]

G, thanks for the nice charts. I don't think they show that the time to short and to forget is here (seems to be your opinion as well).

Can you comment on Hulbert's numbers?

http://www.investorshub.com/boards/read_msg.asp?message_id=7867965

I like his approach and, in general, prefer to bet against the crowd of advisors. They are short nasdaq big time right now.

I think the next couple of days will be significant. I am assuming that the damage from Rita is less than expected/feared and we will get a rally. The reaction of suckers (e.g. odd lot short sellers) will be interesting to watch.