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.

House Party


Good luck into the close!


"Don't mind her. She's just upset that someone dropped a house on her sister."

--Otho, Beetlejuice

Talk about a breakdown! No, I'm not talking tape--I'm talking trunk. Somebody once told me that things would starts malfunctioning in the mid-thirties but, jeez, all at once? Knees? Shot. Back? Pain. Head? Ache. Eyes? Swollen. I mean--honestly--it's a good thing I've got poetic license on the animation. I should pick up my hair and go home!

Back to life (back in reality), the trading tone has turned to stone. National Semiconductor (NSM:NYSE) got beaten with an ugly stick and that sacked the semis...which quelled the tech swell...and that turned the tide. The damage is relatively isolated--retail is getting smoked and the semicaps are swollen--but the breadth continues to smell sorta sour. With all that said, I would be surprised to see 'em take out S&P 1060 ahead of the twin catalysts.

Is there gap risk tomorrow? You bet there is. As I said earlier, there are two distinct scenarios unfolding. We've either broken out (and this sideways action and intra-market rotation is healthy) or the technical perfect storm is gonna slap the trapped bulls and unleash a world of hurt. The most obvious strategy is to be bullish above S&P 1060 and bearish below, but that doesn't help if you've got overnight risk (into two significant overnight events).

For my part, I'm sticking with the same stylistic approach I discussed earlier--defined market stuff (cheap vol) and individual situations. I want to be much more bearish but discipline has me respecting the textbook technical acne. That doesn't mean I can't play, it just means I should remain tighter (and somewhat smaller) until a better edge emerges.

I'm gonna jump and juggle into the close so lemme hop. Thank you kindly for the warm response to the holiday gift baskets as I know that the critters worked hard on 'em. Minyanville is a labor of love but, rest assured, there is labor behind the love. In an effort to balance (and in the interest of fun), Professor Brodsky will be joining Mr. Succo and I for our weekly vibe session. Get psyched kid!

Have a peaceful night.
No positions in stocks mentioned.

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