By Todd Harrison Jun 20, 2003 2:20 pm
Good luck into the close and may peace be with you!
Ticking away the moments that make up a dull day
You fritter and waste the hours in an offhand way.
Kicking around on a piece of ground in your hometown
Waiting for something or someone to show you the way
The quiet grind continues as we edge through expiration Friday and the critters are patiently eyeing the action. The earlier rally attempt through S&P 1000 (NDX 1235) was met with supply and it served to put in a "lower high" from yesterday. This now sets up an interesting juncture on the short-term charts. The series of "higher lows" (from late May) is now being tested and it seems as if these two patterns are on a collision course.
While the "guts" of expiration are typically nonevents, it's worth noting that the breadth has turned negative in both complexes. The action will likely pick up into the bell as traders manicure their greeks but, in the meantime, I'm watching the financials (flattish), Cisco (CSCO:Nasdaq) (been heavy all day), the SOX, the cyclicals, the bonds (getting smoked) and our levels.
The obvious focus next week is Elmer & Co. as they'll put there heads together and decide how much snippage is needed. There's a fair amount of debate going on (whether the Fed will cut 25 or 50 basis points) but I'm not sure it's gamable either way. Quarter-end agendas will be in play and the price action will likely be influenced by that (as much as anything). Will the bulls get trapped long? Will there be quarter-end "lock in" rather than "mark up?" Will Fokker finally shave that goat hair from his chin? One thing for sure, Minyans, it promises to be a nuttier than Austin Power's coffee.
I'm gonna flip lids and turn my attention to the looming expiry so I'm gonna sign off for the week. Keep an eye on those levels as we edge towards the bell and make decisions consistent with your view, risk profile and time horizon. Our goal when trading -- or in any job, for that matter -- is to take care of business when we have to so we can relax when we want to. Have a fantastic weekend and, if you get the chance, try to do something Joel.
Fare ye well.
position in spx, qqq
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