Part of the misconception with saying something is overbought is the negative connotation that comes with the word. Last week, Exodus flagged a systemwide overbought signal and that’s a good thing for stocks, historically speaking.
The rationale for this is simple. Strong stocks cause money on the sidelines to jump in and short squeezes occur. This initial push into an already overbought market tends to cause blow off tops, which could be incredibly profitable for advantageous bulls.
The stats over the past 12 mos are convincing.
Based upon these stats, markets should skate gently higher for the next week or so. But, bear in mind, this is the time of year for sharp and overtly dramatic market corrections, so be on guard for that.
If you enjoy the content at iBankCoin, please follow us on Twitter
what if Killary is demolished in the debate on Monday? Then can the market crash.
douche bank is on cue for blow up as well as yen. the fireworks will come from one of those two.
Blowoff top it is. This is kind of like 2007-8 market. Minus trillions and trillions of zeros being exchanged.
Speaking of….did the US have gains off of the the bailouts? Or is that still ongoing? We haven’t even got another chopper $ drop yet.