Before the Open (Dec 2)

by admin on December 2, 2009
in Before the Open

Good morning. Happy Wednesday.

In case you missed it, after 7 years I finally posted an About page. I’m be adding more material to the page, but this is certainly a good start.

The Asian/Pacific markets closed mostly up – there were a couple 1% winners. Europe is currently mixed and without any big movers. Futures here in the States suggest a flat open for the cash market.

Here’s the daily SPX. There’s nothing wrong with this chart…consolidation period within a strong trend. There are lots of warning signs out there, but as of now, dips continue to get bought and the trend remains in place.

Here’s the 15-min SPY. Lots of big gaps, lots of listless movement…in the end, after three weeks, the market is unchanged. Breakouts are working but only for a couple days. Take the money and run when it’s available.

The banks may be key here. They lagged on the last leg up; this can’t continue. They don’t have to lead, but they can’t fall too far behind. If the SPX is going to breakout to a new high, BKX needs to move above resistance.