Relative to what we've seen recently, the current declines are 'big', but really, the sp' is only lower by 0.7%..and a close back in the 1700s looks very viable. Precious metals are trying to bounce, Gold -$14, whilst Oil is -0.9% or so.
sp'60min
sp'daily5
Summary
Considering the past few weeks...I simply can't take the current declines seriously.
We're going to get some kind of latter day recovery, and a green close is entirely viable.
--
From a micro-wave count though, we're getting awfully close to a projected cycle peak.
For the moment, I still don't think this market merits getting involved with.
The main indexes are moderately lower, but with two very significant QEs across today and Thursday, the bears will face persistent problems in managing a red close. Metals remain weak, with Gold -$20. Despite the index declines, VIX is only +3%.
sp'daily5
Summary
I suppose you could call this a sub'4 of 5 on the daily chart, but whatever it is, I find it hard to believe we won't claw back these opening declines.
Bears are very likely about to get a reminder of just what the QE-pomo is all about.
--
notable movers so far today: MGM, +5% or so on earnings I believe.
Good morning. Futures are a touch lighter, sp -2pts, we're set to open around 1705. Precious metals are again the weak spot, with Gold -$12..although Silver is almost flat. Oil is a touch higher. With QE-pomo of $5bn today, it will again be difficult for the bears to sustain any momentum.
sp'60min
Summary
Once again, we're set to open a touch lower, but really, the market has been doing this for weeks now, and we still often close to the upside.
The large QE today should be a reminder of what the Fed is capable of, in keeping this charade going.
--
*I remain on the sidelines, and am not really expecting to get involved today. I really won't be interested until the sp'1720s, and even then, I want to see some sort of clear intra-day sign of a toppy-action.
Considering the lack of news this week, there seems little reason why the bears are going to be able to wrestle control back.
Update from Mr 'Permabull' Carboni
Can you believe it, he is still bullish, ;) I do agree with his call on Gold though.
