GETTING OVER EXTENDED

TSPers,

I love to be a bull but do we look like we are getting over extended here. Straight up kind of scares me.

http://ichart.yahoo.com/z?s=^DJI&t=1y&q=l&l=on&z=l&c=^IXIC&p=b&a=

[Rolo]

Lemme try to catch this as it flies over my head:

What does that mean exactly, overextended?

Why is the NASDAQ being compared to DJIA? And are those Bollinger bands or price channels on the DJIA?

Rolo,

Going up to fast. I am just saying the trend (both DOW and NASDAQ) when we go up like this over the past year we get sharp declines (Feb 04, May 04 and Jul 04). We are approaching moving averages and for this year have been unable to break them. I just wonder if we are in for more of the same next week?

Just want to get the feel for what others were seeing.

MT

[Timer]

MarketTimer wrote:

Just want to get the feel for what others were seeing.

MT
I too think this is a quick run up. My spidy sense is that we will see a generallyimproving market up until 11/3. As I've said elesewhere, I am investing in stocks on a mid termbasis (sincemid August)till shortly before the election when I will poke a wet finger into the air again for a new direction. So far so good.

[Mike]

Poke a wet finger in the air for direction? Are you running for office, too? :P