Editor's Note: Todd posts his vibes in real time each day on our Buzz & Banter.
Thirsty Thursday is upon us -- yes please! -- as we edge toward the fish-or-cut-bait level that is S&P
It's been a long time since the bulls had their backs against the wall, but after 13 straight months of being rewarded for buying the dips, they're not too worried (which may be a reason to worry).
Should S&P 1775
hold, shame on the bears yet again, as the bulls will again set their sights on S&P 1800
or higher; should that level give way, the trend line from November 2012, in and around S&P 1730-1740
, will come into play. See both levels on the chart below.
Market internals are currently 2:1 negative on the big board, the banks -- which dragged the tape lower yesterday -- are now outperforming (they've been a super tell), and high-beta tech is a mixed bag, buoyed by the price action in Facebook
(NASDAQ:FB) following last night’s news that it will be added to the S&P (as index funds buy the stock).
I won't go so far as to say The Holiday Party Indicator triggered yesterday’s decline, but the inability of the futures to lift in the face of good news -- or, news that would have lifted the tape in the past -- was telling. Sometimes you can learn a lot just by watching.
When is the last time the dip shtick didn't reward the buyers? Where is the path of maximum frustration? And where are we on the denial-migration-panic curve?
The online brokers, sitting on a slew of cash, stand to benefit from a rise in interest rates. In looking through the group, I noticed that TD Ameritrade (NYSE:AMTD) looks poised to break out to a fresh 52-week high. This is one to watch.
Disclosure: Minyanville has a business relationship with TD Ameritrade.
Position in SPY.
Todd Harrison is the founder and Chief Executive Officer of Minyanville. Prior to his current role, Mr. Harrison was President and head trader at a $400 million dollar New York-based hedge fund. Todd welcomes your comments and/or feedback at firstname.lastname@example.org.
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