Ghost of Igloi wrote:
We will see. The market rise is on very narrow group of large cap stocks while most stocks stay below their 200 day moving average. The largest number of suckers get drawn into the later stages of a Bull market. If you are truly a Big Dog you will know exactly when to sell; that was closer to some today than some tomorrow.
Best wishes though.
This is fundamentally incorrect. Less than 20% of SP500 companies WERE above the 200 day moving average a month ago, but now 56% of such companies are above, over 60% of NDX and OEX are above the same average, and now 40% for the NYSE. Some people use 70% of stocks above the 200 day as a short term overvalued signal ($SPXA200R on stockcharts.com).
The Investment Company Institute shows that through 10/21 John Q Public has been selling equity mutual funds this whole rally, but the large commercials trading the stock index futures (people like Goldman Sachs) are still net long about 40,000 SP500 contracts.
This is a SMART MONEY rally. So are you smart enough?