Today we had the second intra-day last session high volume dump in last four days, and this time, they started at 2 pm instead of 2:30 pm (last Weds). There were some intriguing similarities between the two sell-off: market was steadily making new highs despite of some negative news, bulls were not only buying dips but methodically cornering the seemingly out-of-breath bears, and then all the sudden, some sell programs kick in....
Is it me or some big boys are becoming anxious as May winds down? So far the sell-offs have been done in a orderly manner, which are likely perceived by retailer bulls as yet another buy the dip opportunity, and if you look at just the daily charts, you might not even tell there have been such sell-off. But something smells here, and I wonder if there will be some blood on the street when the third sell-off hits.
Tighten up the stop-loss on your long positions and refrain from initiating new SW longs.
Monday, May 19, 2008
Sell in May and Go Away?
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1 comment:
My nerves are shot...sold a full position of my 93drys for 114, sold last half position at 109, lost 400 on the 105 straddle but bought the common at 98 and finally wacked solf for 8pts. Also bought yhoo july32.5c just for shits...I really suck at options, but a huge week anyhow...
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