Sorry!! The article you are trying to read is not available now.
Thank you very much;
you're only a step away from
downloading your reports.

Field Position


Let's wander slowly through the fields
Slowly slowly through the fields
I touch the leaves that touch the sky
Just you and I, through fields of joy

(Lenny Kravitz)

This is one stone groove, man...there's free love everywhere! Do you want to see the psychological metric in its full glory? Take a look at this morning's research. It seems as if the street has woken up from a deep slumber and decided that stocks aren't that bad after all. It's human nature, right? Despite the pummeling equities have taken, the fear of missing remains a palpable emotion. As stocks rise, money is pulled into the market via a "long squeeze" and performance anxiety begins to permeate. It is, in many ways, self fulfilling...until it stops.

More importantly, the bull's found their upside validation in this morning's earnings reports. The financials, autos, specialty finance, consumers...they all put on a good face and the premarket futures are getting jiggy. I've never been one to make excuses-not my style--and I was clearly too conservative in my approach entering this week's releases. That said, opportunities are made up easier than losses and we must look forward, not back. The question remains: Where do we go from here?

I spoke this morning about the "frame" in which we view the tape and my deliberation between trend vs. phase. While it certainly appears that the bulls have the ball, I would like to make a couple of observations. As it stands, we're slated to open right near the mamaluke resistance zone of S&P 870. This is a level that we've been discussing for some time (much like S&P 775) and now that we're there, it should be monitored. One week ago today-ONE WEEK-there was nary a reason to buy the tape and the collectively psychology was drekky into a big support level. Today, it's hard pressed to find a reason to SELL the tape, investors are giddy and we're approaching big resistance. Just a little perspective as we roll up our sleeves and prepare to battle.

There will be no rationalizing in this space, only discussion. There remains a lot of information and a ton of trading to digest between now and Friday, including October's expiry which will likely exacerbate the price action (both ways). It would be glib to brush off this morning's reports, but I would remind you that timing is indeed everything. IF, in fact, this is a new bull trend, it's worth noting that there can still be bearish phases nestled within that trend.

One step at a time, my friends, as we wade our way through these most interesting times. By doing this, we may not arrive at our destination as quickly as we'd like, but we're less likely to stumble along the way.

See you after the opening

< Previous
  • 1
Next >

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

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.

Featured Videos