The Wall Street call for Monday

[SBR_John]

Asia started off strong only to have to hold on late for very modest gains. Europe has followed suit but so far been able to hang on to its impressive gains of about +1.5%.

With 90 minutes to the open in NY and US stocks trading higher in Europe, I'd look for a positive tone right out of the gate. I'd also look for less volume and a drop in volatility. So I'm looking for a strong AM and a 100+ point gain before the selling resumes. By the PM it could be a dog fight to keep the day positive.

The Rus2000 is the play for me. The tracking stock symbol is IWM. It has found a bottom and added 4.4% last week even with the bloody 400 point drop on Thurs.

[SBR_John]

We did make it up +94 on the Dow early but the sellers were waiting. Up +40 going into the fast moving last 20 minutes.

Market has traded in a tight range most of the day. Looks like good healing action two days removed from the -400 point KY jelly day. But a little bearish considering europe saw mid session highs of nearly +3%.

The Rus2000 is getting spanked -7 proving that in fact I dont know what Im talking about. Actually, more likely a little profit taking and we will see this index resume its upward march.

[Tchocky]

Are you going to do these market reports on a regular basis?

[SBR_John]

When I can, Im going to punch out some commentary.

It was a soft close today in a pretty quiet market. This is the 3rd day in a row the markets have sold decidedly into the close.

And tomorrow? I'm going with a lower open but just as todays early advance was capped I'd look for a down open to find resistance before we get too far down. Volume is down today and way down in the tracking(gambling) stocks. Volume in the Rus2k tracking stock was down a 100 million shares from Friday in this one issue alone. A moderate down day would be helpful in establishing a tradable range for the week which happens to be option expiration week.

[Dark Horse]

The "Fed", i.e. the private -not federal at all- Federal Reserve Bank, printed 36 billion dollars out of thin air last Friday to try to calm the fear that was behind the huge market swings the last couple of weeks. Looks like it may have worked. Dow down 3 pts for the day. lol

Working out my strategy for the next month. Never thought I'd say this, but this is more interesting than sports betting to me now. Easier to beat as well.

[SBR_John]

Its a lot of fun too. Not as fun as watching a football game but not bad.

Same disclipine as in any gambling. Dont load up or chase, wait for the right set-up and consistant money management(which is kin to Dont load up or chase).

[HAPPY BOY]

evryone is twitchy, the dow swings back and forth. I think things still need to shake out more. Eventually Uncle Ben is gonna have to lower rates. Sooner or later it has to happen.