There go the internals. DOH!
Using the whole fist there, Doc? On our trusty 5-day (bloomberg) chart, Dr. Rosenrosen notes that the weekly lows continued to get probed and in case you haven't been paying attention: yes, these matter! Let's call the levels NDX 960 and S&P 833--and don't tell the Underhills!
Meanwhile, Homeland Security officials have told MSNBC that the threat level will be raised to orange and that's currently being disseminated in the marketplace. That's not going to help today's tape. As the rather large and always sharp Anthony at Lehman opines, every bounce we've had today has been due to an easing of the sell pressure and not a sudden surge of buying. I agree, brother, as I've yet to see buyers in the street.
The morning breadth stinks, the BKX has failed (again), the SOX is down 2%, it's a Friday, tension is high and patience is low. What's my take? THIS feels like it's more Shimmy than it's been and if our Shim Sham is to play out, this is a necessary (albeit uncomfortable) step in the process. As (and if) we get closer to S&P 810ish, I'm gonna tell Daisy to wake up her bull and get him ready for action.
Will we get there? Not sure--but I've been eyeballing that level for a while and if we get there, the tape will be messier than a jackknifed manure-spreader on the Santa Ana (you should see my shoes!). The tape has been drekky--but it's been a fairly orderly decline. We need a little panic to shake up the Minxy mojo.
Deep breaths and one step at a time, friends. And don't lose you're cool--it's times like these that you need to be at the top of your game.
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