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.

Coiled and Ready



Handicapping the next day's direction continues to be more of a 'prediction' than a 'probability.' I've not penned too many posts this week because the recent action simply hasn't generated any historicals of interest.

But there's a few things that point to a decent move today:

  1. For the sixth day in a row, the SP futures closed in the opposite direction of the prior day. Since the March 2003 low, there have been five similar patterns. In four of the five, the next day's close was up or down by at least 1.1%.
  2. The all-important SOX index posted back to back inside days and recorded the narrowest range of the year yesterday.

This morning's PPI report could exaggerate the day's open but I think we should be on alert for a trendy day. To confirm the direction, watch the SOX. A move outside yesterday's range that sticks is probably the first 'tell.'

Be aware of the upside bias for tomorrow's open. On expiry Friday, the SP futes opened higher in nine of the last twelve months. As always, past performance does not indicate future results.

< Previous
  • 1
Next >
No positions in stocks mentioned.

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