Twist and Shout
N's over S's
If you twist and turn away
If you tear yourself in two again
If I could, yes I would.
If I could, I would let it go
The Monday fun continues its run as traders edge through the afternoon. Overall, the tone is steady, for lack of a better word, although the Minx is chewing through the lunch crunch. It remains very sector specific and a pronounced rotation has evolved intramarket. As it stands, the semiconductor acne and telecom accumulation is masking some weakness in retail and select financials.
It's difficult to ascertain where we are on the "denial-migration-panic" curve but judging from the conversations I'm having, there sure are some anxious folks out there. I'll never offer advice on how to trade (we don't do that) but how we approach the coming juncture is critical. Regardless of your view, patience generally brings price and emotional decisions always have a way of biting you on the can. If the schvitz-o-meter is redlining, playing "in between" (or partial positions) sometimes lessons the pressure but please, Minyans, don't be reckless.
I say that as we gear up for an avalanche of information on the fundamental front. I also bring it up as the sexy sirens sing their song and entice us with their dangerous dazzle. I'm not saying prices can't continue higher--they surely can--but the litmus test is one of time. Think of it this way--if the Minx is up OR down 500 points, will you have the inventory/ammunition to trade accordingly? If not, you're likely leaning too much in one direction.
Watch Friday's highs (S&P 1132ish/NDX 1540ish) as the first area of upside interest as "stops" are likely set above. It "feels" as if the bulls wanna run but a bout of profit taking into the unknown (earnings) shouldn't shock anyone. Intel (INTC:NASD) is reporting Wednesday--not Tuesday--so apologies for the earlier confusion. With limited systems and a freshly baked Fokker, we're scramblin' a bit in the city of critters.
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.
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.
Daily Recap Newsletter