Tuesday, August 3, 2010

Market up date (08/03/2010)

Quick up date on market. S&P500 made a higher high which is bullish, please note that S&P is over extended, it's extremely overbought in short term, but as long as S&P500 stays above 1100 bulls have the upper hand. Fundamentals is weak and does not support the rally, but stock market is a big casino, institutions ignore bad news and send the market higher. You should ignore economics data and trade base of technical in short term. You could go short if S&P500 tanks below 1094 and stays there for a couple days.