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Don Green wrote:
>
> Well, still holding on. For those watching the market, look at a charts of a
> few of the big name stocks and look at the bounce after the major market
> drop.
>
> This is a common occurrence, You will also see that the market will usually
> rise up a few points and then drop again.. This is the area where I like to
> trade. Unfortunately it doesn't always work, which my present trade is
> showing you.
>
> The only reason I am still in BA, is because the market is still dropping.
> I still have hope?? for a further CRASH... I am not sure why BA is
> rising...? I don't think it is oversold considering the general market.
>
> Regards
> Don
Don,
1. When in doubt get out.
2. When the rule or general tendency is broken it is usually cataclysmic
in scope.
What you have described about Boeing above fits both of these rules.
You aren't sure and it is the exception to what the market is doing and
you don't know why. Those who are students of relative strength know
that this is the kind of stock to be bought when the market is done
going down. It will probably lead the way on the upside and be one of
the first issues to rally. Translation, this is not the kind of stock to
be short.
Trading is like wild life. Isolate one of the weak ones from the herd if
you want to eat dinner. The strong ones may bite back.
Naturally,
Norman
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