As of yesterday's close 7 of the 9 XLX ETFs are long. Should be expect at today's close most of the XLX ETFs to go cash or short?Originally Posted by Pascal
As of yesterday's close 7 of the 9 XLX ETFs are long. Should be expect at today's close most of the XLX ETFs to go cash or short?
Most are close to the 0 level-porosity.
This means that they will turn short by the close.
Pascal
Pascal; What may be equally as important with regard to AAPL is that money isn't moving in when AAPL is trading near its 50 dma.
Best regards,
Robert
Yes, the fact that we are just below the Lower Boundary with no money moving in is worrisome.
The situation of the current holders has also changed. I show below two Volume Histogram for the total float of AAPL shares. We can see that mid-April, there was a good equilibrium, with half of the shareholders losing money and half still in positive.
This however has now changed and it is how a negative selling back-loop starts forming, with lower prices attracting lower prices. By experience, I have indeed noticed that a loss of -10% is acceptable, but once it gets higher, shareholders start cutting their losses. There is a group of shareholders that stands at the -10% level. This is the group that will sell first, as soon as the price breaches the previous low of 560. This level must hold or else, the selling will snow-ball on other techs and then on the whole market.
In the meantime, this is in fact the place to buy AAPL, at least if the market was starting to bounce from here and if we could witness large players being again attracted by AAPL. Let's see what Monday will give us. The market will by then have had all the time to digest the fact that Germany is potentially standing against all other European politicians who want to debase the Euro to "grow" their exports.
Pascal
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