The Neighbors to the North
With all these macros trying to push the market higher, I don't think we're gonna slither sideways!
Who can do the distance?
We'll find out in the long run. In the long run
We can handle some resistance
If our love is a strong one. Is a strong one.
A very nervous Boo just limped over to my desk to ask me what I was seeing and I told our furry friend that IF the market was going to fail, it would likely happen at these levels. NDX 1050, S&P 910 and SOX 330 offer a triple bogey for the bulls and it seems as if traders are keying on them. In the past, these types of technical perfect storms haven't played out too well for the bears but the jury's still out on this bad boy. I don't blame Boo for schvitzing-everyone is talking Santa Claus rally-and it's either going to become self-fulfilling or another bitter pill for Hoofy.
The most notable thing on my board is the retailers. They opened weak and have been under distribution from the word go. Other than that, however, it's a jump ball as the financials act alright (positive chatter out there), the semis are arm wrestling with SOX 330, defense acts well, soft goods are once again weak and media acts dry. A check of the morning breadth shows the villains edging the super heroes by a slight margin as traders begin to merge into today's traffic. As I write, I've seen some macro hedgies come into the market and try to squeeze the tape through our levels. Saucy!
I'm going to stop out some (or all) of my short bias if we can garner discernable jig through resistance as, well, that's just good discipline. Both the bulls and bears have been spinning their wheels in the last few months and while my bearish inclinations remain, discipline trumps conviction. I am also factoring in my personal schedule as my time horizon changed and my positions will likely be flattened by Friday's close. Remember, we must always remain adaptive when trading
Our macro influences continue to have issues as the greenback slips, gold blips and crude sneaks higher. Speaking of issues, please excuse the technical glitches today as I inverted my first two posts of the day. I know...I'm backwards too! Still, if you missed "Bowling for Dollars," please scroll down. The high bid on the auction remains John B. Collier ($1100) but I sense that this bid will be topped by the time this wraps up on Thursday's close. Call it a hunch.
I hope this finds you well.
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