Here are my updated random thoughts on the market as of 12:38 p.m. EDT:
Twitter (NYSE: TWTR) still trades funky, like someone has been letting the air out of the tires since the company missed on earnings.
Then again, Facebook (NASDAQ:FB) and LinkedIn (NYSE:LNKD) are also underperforming, so perhaps it's something in the space. Either way, these names led the tape higher, so it's worth noting.
The double- or triple-leveraged ETFs are decent vehicles intraday but get dicey when held for longer time horizons.
It looks like China is going the "debt destruction" route; time will tell if it will be orderly.
I still believe there will be a time to buy China and short the US on a pairs basis; I'm just not sure when that will be. If the Shanghai Composite (SHA:000001) breaks 1985 (the level, not the year), it has a 10% risk to the downside from there.
Headlines aside, it's worth remembering that textbook technical analysis dictates a retest of breakout levels; those levels are S&P (INDEXSP:.INX) 1850, NDX (INDEXNASDAQ:NDX) 3640, and Russell (INDEXRUSSELL:RUT) 1182.
BKX (INDEXSP:BKX) 71.50 and TRAN (INDEXDJX:DJT) 7600 would "confirm" the breakout, if and when one should happen.
And just like that, the VXO (INDEXCBOE:VXO) is off 17.5%.
Minyan March Madness deadline is Thursday, March 20, at 11 a.m EDT. Good luck!
Follow Todd and over 30 professional traders as they share their ideas in real-time with a FREE 14 day trial to Buzz & Banter.
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 email@example.com.
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.
Copyright 2011 Minyanville Media, Inc. All Rights Reserved.