Frequently Asked Questions

Market Lab Report
What kind of bounce would be weak enough to short into given the choppy market action as of late? What about the fed's divide in terms of how to slow quantitative easing 2?
The market is choppy indeed (as of May 18, 2011). It is best to use price/volume action as always, and position size/risk manage according to your risk tolerance levels.


There are so many variables on the table, and new ones that will come that may or may not complete the picture. Experience helps in terms of judging these variables. But all variables translate into price/volume action of the major indices and leading stocks, and a bounce is characterized as weak or strong on this basis.

Published: May 18 2011