I suspect short term bottom is very near

[vergis92]

Looks like selling is bound to stop this week, but not potential for sharp rally up to
1000 level on the SP500 in one go either ,
most likely reversal day is tomorrow, (propability 70%)
But If the sell off continues for like 2 more days then will still see a 95% probable bottom and will make the case for sharp rally.
Either way the objective is to reach at least the 1000 psychological level without
risking another big day down , what I hate about the market right now is that daily
range is completely unpredictable, I don't know about you stop loss placement is
in my swing trading is a nightmare that always comes true

 

[VANTERHEYDEN]

I reckon you could be right
Although these are uncertain times - but then again thats what creates a market!

Alexander van Terheyden Blog

 

[vergis92]

I reckon you could be right
Although these are uncertain times - but then again thats what creates a market!

Alexander van Terheyden Blog

According to leading indicators The market seems to be fully set up for a rally next week, I don't think any rally will
fizzle out until at least Thursday, where it usually makes some kind of intraday lows,
the best and simple indicator for rally continuation is consolidation days after the first
move up, so fingers crossed now, I 'll be looking to go long and stay long

 

[alan5616]

According to leading indicators The market seems to be fully set up for a rally next week, I don't think any rally will
fizzle out until at least Thursday, where it usually makes some kind of intraday lows,
the best and simple indicator for rally continuation is consolidation days after the first
move up, so fingers crossed now, I 'll be looking to go long and stay long

Vergis,

You may well be right but, there are some important figures due out, in the US, within the next few days. Also, on Tuesday, Bernanke is due to testify, before the Financial Services Committe, on TARP and the Federal Reserve's credit facilities.

Imho, leading indicators can be pointing to a rally but, these markets are so news sensitive at present, any set of figures that delivers really bad news will push the equity markets down further. As the highly intellectual Dan Quayle once said "Making predictions is very difficult; especially those involving the future."

As I don't trade the indices futures these days, I wish you every success and hope that your opinion proves to be the correct one.