Tuesday, October 11, 2011

11 Oct 2011

 Overbought in short term.
Still not below last low in medium term.

As you can see, most stocks "bottomed" in early August with my medium term / short term indicators. 

However, a lot of underperformers, like RBS, didn't do much since then.  I am coming around to believe this current rally has been just finally infecting the underperforming stocks (usually affected last).  See the stochastics on RBS.  They've rallied for a while while price didn't and now they are extremely overbought, much like every previous big top on it.  In other words, while some stocks (AAPL, RIC, JAZZ) all went up from then to now, this flatness is all a lot of these banks could muster.  Definitely not encouraging price action.

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