Monday, December 14, 2009

The Calm Before the Storm?

Although today has nothing on the economic calendar, we have a huge week ahead, starting tomorrow. If it wasn't bad enough to deal with quad witching on Friday, it's FOMC time again... and I know how much you all love two days of waiting for a 5 minute announcement. While trying to gauge risk on this tape, the only thing I can see so far is for the second day in so many, the mid-caps are outperforming everything else, with the exception of $TRAN. The chart below will show TRAN is really pushing it here, and a close above resistance does not fare well for bears. The irony is the information that somehow missed the fact that freight transportation index fell 1.2% in October from September, but when did a little thing like that stop this tape? But.. moving right along, here is the economic calendar for Tuesday, and also keep in mind Thursday will be a huge earnings day for both tech and the retail numbers coming out of BBY. Keep an eye on those charts for hints as Thursday draws near. Before the bell will be ICSC-Goldman Store Sales, PPI, Empire State Mfg., Redbook and Industrial Production. 1:00 PM is Housing Market Index. Also tomorrow we have another 30 Y Bond Auction, and perhaps we'll see if they'll keep the buck pumped up to sell that auction, although it didn't do too much good for them last week.  Do I know where this will go today, no.  We just need to play the cards they deal us this week and understand that it could be flat or volatile and come to the table each day ready for either/or.  Good trading fellow TTWrs... keep your wits about you and extract what you can, where you can.


In honor of the banksters making a visit to see Obama today as he pretends to share the populist sentiment, I’d like to share this:


blog comments OCCASIONALLY powered by Disqus