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.

Pop Goes the Weasel!


Chip which?


Well, so much for a quiet August Friday! I suppose that if I were looking for maximum bang for the buck, I'd release good news when it's whisper thin too! The Intel (INTC:NASD) announcement has spurred a feeding frenzy in pre-market trading and it's "game on" for the gorillas. Thus far, the macros have bought seven figure size in the ETF's and they're still going.

While there's a part of me that thinks this might prove to be a super fade (bear market rallies end on good news), discipline dictates respecting the stop levels we've identified. If S&P 1010 ticks during regular market hours, the lone bear appendage that we added yesterday (at S&P 1007) will be removed. The thin conditions make this news more difficult to "game" than usual and now, more than ever, discipline must trump conviction.

With that said, please remember that tech in general, and the semis in particular, have rallied smartly into this news. With the index up 10% this week alone (not including this morning's spike), the potential exists that some of this news is discounted. It's a spicy assertion, I know, but we've seen nuttier things happen. That doesn't necessarily mean it's today's business but it's something to put in the back of your brain.

Away from tech, the financials will be the obvious focus as they've been holding the market back. With the fresh Freddie chatter (FRE:NYSE) in today's Wall Street Journal, the smoke continues to seep out of Pandora's box. Citigroup (C:NYSE) remains a big board tell as it's a financial supermarket. If the broader market is to "go," Citigroup has to get involved.

I've gotta hop as the day just got much busier and the froth got much frothier. Good luck today, Minyans, and keep your head on. Emotional decisions always have a way of coming back and biting you in the can.

< Previous
  • 1
Next >
position in spx, c

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