Some wild swings in the morning, and then some sideways chop until the close… but we’re still in the rising channel on the 60 minute chart below. I didn’t think the move down yesterday was going to stick, as the volume was just too light. The 1092 level that held yesterday, will move up tomorrow to about 1097 on the lower trend line on the rising channel. Will it hold again tomorrow? As long as the volume stays low, then the answer is most likely YES.
Today’s volume was only about 175 million on the SPY. That’s just too light for any sell off to happen. The markets are still being held up for now. My feeling on tomorrow is that they already know that the Initial Claims and Continuing Claims numbers are worst then expected. So, how do you keep the market from selling off huge on the numbers? You release other bad news like the Consumer Confidence numbers, and New Home Sales 2 days ahead of that.
The expectations will be lowered in the minds of the traders, so when the numbers are released, it won’t have as big an impact. Smart crooks, these Fed’s are… You have to give them credit for that.
Next, what I would do is to rally the dollar over night, then sell it hard at 8:30 am when the Claims numbers are released. That should keep the market from selling off too hard. Crooked isn’t it? Of course it is… but a year ago only 1 out 20 people asked would say that the market is manipulated. Now, I’d bet 1 out 2 would say it is…
Clearly, without the stimulus money, the market would probably be below the March 6th, 2009 low by now. All this manipulating is really going to hurt the economy long term. It’s like they are slowly pulling the bandaid off from the big cut or sore on your body… pulling one hair at a time. It would be a whole lot less painful to just jerk it off quickly and be done with it. Sheesh… every parent knows that.
But, I guess we don’t have adults running the government… we have children. They cry when things don’t go their way, throw temper tantrums, and fight among each other. Yep… sounds like to children too me!
Move on…
Looking at the chart above again, I’d say we could chop a little higher until the end of the week, as the MACD is rising up into positive territory, and the ADX line is still pointing down. The ADX could bottom on Friday or Monday, and then start to curl back up, giving strength and momentum to whichever DI line is on top. My thoughts are that the negative DI line will start to rise at that time, and nice little sell off would occur.
This will line up nicely with the weekly chart putting in a nice bear flag too. Just keep in mind that during light volume periods, the market rarely sells off. It usually goes up, or sideways. So, I’m looking for the ADX to find a bottom and start to turn back up while the spy is also hitting major resistance level.
Those levels are 111.50 spy (about 1110-1112 spx), and the best level is 112.00-112.50 spy (about 1115-1120 spx). I would love to see 112.00-112.50 by the close on Friday, as that would be an ideal place to go short over the weekend with a put spread. It may not happen though, as that target might not be hit until the usually bullish Monday next week… but, what if Monday starts a nice sell off? Would that catch the bears by surprise?
Hmmm, bear flag on the weekly charts, major resistance at 112.00 area, February closes out positive, new month to start next week, and maybe some bad news released over the weekend? That sounds like the perfect setup to fool a lot of bears… and bulls too! Will it happen? Who knows? I’m just throwing it out there for you to decide.
Red

Related posts:



Pingback: Tummy tuck
Pingback: Mortgage calculator with taxes
Pingback: http://tgifridayscouponss.com
Pingback: Accounting Basics
Pingback: Myrtis Aiona
Pingback: Accounting Basics
Pingback: Used Cars
Pingback: Ruby Tuesday Coupons
Pingback: payroll services
Pingback: Statesville Ice Cream
Pingback: Peggie Annand
Pingback: Statesville Ice Cream
Pingback: Accounting Basics
Pingback: Statesville Ice Cream
Pingback: Statesville Ice Cream
Pingback: Watch 11-11-11 Full Movie
Pingback: The Girl With The Dragon Tattoo 2011
Pingback: Statesville Ice Cream
Pingback: Statesville Ice Cream
Pingback: Accounting Basics
Pingback: Asian Tiger Mosquito
Pingback: Jocuri
Pingback: Used Cars NJ
Pingback: Twilight Breaking Dawn FULL MOVIE
Pingback: Twilight Breaking Dawn Part 2
Pingback: Twilight Breaking Dawn Part 2
Pingback: Twilight Breaking Dawn FULL MOVIE
Pingback: Twilight Breaking Dawn FULL MOVIE
Pingback: Twilight Breaking Dawn FULL MOVIE
Pingback: Twilight Breaking Dawn Part 2
Pingback: Twilight Breaking Dawn Part 2
Pingback: Twilight Breaking Dawn FULL MOVIE
Pingback: Twilight Breaking Dawn FULL MOVIE
Pingback: Twilight Breaking Dawn FULL MOVIE
Pingback: Accounting Basics
Pingback: water softener
Pingback: Twilight Breaking Dawn FULL MOVIE
Pingback: Twilight Breaking Dawn FULL MOVIE
Pingback: swisstgallery
Pingback: mujeres
Pingback: Asian Tiger Mosquito
Pingback: Asian Tiger Mosquito
Pingback: Asian Tiger Mosquito
Pingback: Asian Tiger Mosquito
Pingback: Asian Tiger Mosquito
Pingback: Asian Tiger Mosquito
Pingback: Asian Tiger Mosquito
Pingback: Accounting Basics
Pingback: Accounting Basics
Pingback: Asian Tiger Mosquito
Pingback: Fettabsaugung
Pingback: Accounting Basics
Pingback: discount tire coupons
Pingback: olive garden coupons
Pingback: indian head coin
Pingback: inbound links
Pingback: Colorado Springs Doors
Pingback: Asian Tiger Mosquito
Pingback: ray ban
Pingback: DNA Test
Pingback: Augenlaser
Pingback: Mad WhEELS
Pingback: photography tips
Pingback: http://theworldsbestwatches.com/levels-of-luxury-watches/
Pingback: The Girl With The Dragon Tattoom FULL MOVIE
Pingback: Asian Tiger Mosquito
Pingback: Asian Tiger Mosquito
Pingback: Avoiding Scams While Traveling
Pingback: Watch 11-11-11 Full Movie
Pingback: seattle organic seo
Pingback: Accounting Basics
Pingback: Accounting Basics
Pingback: oil change coupons
Pingback: fight night champion legacy mode freezes
Pingback: Accounting Basics
Pingback: Accounting Basics
Pingback: double glazing retrofit
Pingback: shopping cart software
Pingback: clairvoyants uk
Pingback: oem car parts
Pingback: wheels
Pingback: tire shop
Pingback: bodog review
Pingback: phlebotomist pay scale
Pingback: security doors nz
Pingback: Accounting Basics
Pingback: Accounting Basics
Pingback: cheap oil change coupon
Pingback: Accounting Basics
Pingback: Asian Tiger Mosquito
Pingback: Accounting Basics
Pingback: Accounting Basics
Pingback: bolsas de papel
Pingback: solar panels uk
Pingback: davey pumps
Pingback: Accounting Basics
Pingback: psychic light
Pingback: Financial Accounting
Pingback: Electronic recycling
Pingback: Asian Tiger Mosquito
Pingback: Accounting Basics
Pingback: campers world
Pingback: psychics
Pingback: senuke x review
Pingback: Accounting Basics
Pingback: Online Marketing
Pingback: Ultrasound Technician
Pingback: tauranga retirement villages
Pingback: SEO
Pingback: Abderahmane
Pingback: sprachaufenthalt englisch
Pingback: hiking stores
Pingback: psychic readings
Pingback: Web design
Pingback: Adil
Pingback: Accounting Basics
Pingback: Financial Accounting
Pingback: Financial Accounting
Pingback: Accounting Basics
Pingback: online fish store
Pingback: Stream Direct TV
Pingback: Real Writing Jobs Review
Pingback: HOT SEXY Girls Waiting For You
Pingback: HOT SEXY Girls Waiting For You
Pingback: mechanics auckland
Pingback: joinery auckland
Pingback: Financial Accounting
Pingback: Click Here
Pingback: Click Here
Pingback: Click Here
Pingback: Click Here
Pingback: Baugeld
Pingback: auckland drainlayer
Pingback: Green Cleaning
Pingback: Scrapeboard
Pingback: גרפולוגית
Pingback: Affiliate Investigaor Review
Pingback: Charlotte SEO
Pingback: Financial Accounting
Pingback: Visit Website
Pingback: Forensic Accounting Salary
Pingback: Affiliate Investigator
Pingback: More Info
Pingback: Get More Information
Pingback: Website
Pingback: Check This Out
Pingback: Homepage
Pingback: Get More Info
Pingback: Affiliate Investigator
Pingback: Epic Traffic Bot
Pingback: pv
Pingback: is grammarly better
Pingback: Microsoft Points Generator
Pingback: Just Beats By Dre
Pingback: http://www.howtowinthelotteryguaranteed.com
Pingback: win the lottery
Pingback: Rosetta Stone Reviews
Pingback: die Muppets DVD
Pingback: Supply Chain Management Course
Pingback: 2012 Becker CPA
Pingback: PNC Online Banking
Pingback: Internet Business Ideas
Pingback: friv
Pingback: Be Your Own Boss
Pingback: car insurance
Pingback: bağlama büyüsü
Pingback: Stream Movies Online
Pingback: Scrapebox Server
Pingback: VPS
Pingback: free credit reports
Pingback: frases bonitas
Pingback: Chase Online Login
Pingback: searscard
Pingback: game
Pingback: flyttefirma
Pingback: mobile tower on wheels
Pingback: self supporting tower
Pingback: tires for cheap online
Pingback: raspberry ketone
Pingback: toyo open country tires review
Pingback: Gucci Wallet
Pingback: best refrigerator brand
Pingback: drunk driver attorney phoenix
Pingback: free real estate calculator
Pingback: casino gaming supplies
Pingback: tires cooper on sale