U.S. futures look to open down about 1/3 percent.
From Phil's Stock World:
The Dollar bounced off 79.75 this morning, nothing to crow
about for Dollar bulls as the Euro remains just over the critical $1.30
mark and the Pound is solidly over $1.55 for the moment.
You could say it's a bearish sign that the Dow and the NYSE stopped
dead at our breakout levels but that's to be expected on a first attempt
at breaking out – even if they have already attempted the same move
back in late October, when the Dow was 5% lower in it's test and the
NYSE was testing the same line (7,866)....MORE
.
...An
optimist would say – well, you can read almost any MSM site for that.
It's lonely at the top of the range when you are bearish, one by one
the other bears capitulate and soon you are there all by yourself with
your shorts – your lovely, lovely, cheap shorts! The Dow shot up
yesterday to just over the 12,749 breakout line we have as the tippy top
of the range on our Big Chart so of course I called for DIA puts in
Member Chat. The DIA Feb $123 puts, which came in around .75 and
finished the day not much higher at .78 after topping out at .95.
Ranges usually hold – if you're not going to have conviction at the
very top of a range to short – when will you? For one thing – you have a
very good stop line to watch!
As noted by Dave Fry in his SPY chart, the bulls have engineered their golden cross…
