Hello bearshark,
Damn it's Good to see your "Fin" surface here at this time.....!!!!!!!!!!!
Hopefully the feeding will start after today's fearful dump.
What's Fascinating about the period from the pivot on March 19, 2002... 10,635.25 is the way the players have dumped equities on every little tid bit of awful news.
After Sept 11th.... with the base at 8,235.81, they ran these same equities up on a ramp.... using the same fearful type of news... and then slowly the constitution of the market changed and the same news was sold. What for the change....?
DJIA 50% retrace for this move is exact at 9435.53....
9/11 closed at 9605.51
This area is a line in the sand and it should be defended.
All Free People should defend this line.
Another interesting aspect to the constitution of this market is the house cleaning taking place after the bull moves of the 90s. The Catholic Church..., Bin Bin and Islam... the corrupt CEO's..., greed driven capitalistic enterprise like Enron and Anderson..., Tyco..., etc.
Give me a break...! This is nothing new....!
Excess and Greed began with the beginning of the exchange of capital goods.
It's going to take more then good earnings to move this market up over that 10,635.25 mark and then over 11,500. The difference has got to come from the Bush administration. The Clinton's were good at making the public feel comfortable, "It's the Economy Stupid." But the Republicans are intent on using the existing fear to market the war footing programs they want to put in place. Good or Bad they are based on fear..., and this fear is hanging over the country and I doubt any major push higher will start until the positioning and shrill coming out of Washington changes.
O'Neil is just not getting this side of the job done. He should be pounding the table and defending this "Line in the Sand." This economy is just not that bad, and the struggle to keep what's good going is very important to all of us. What we need is better leadership from O'Neil and not reduced PE's which are a lousy way to judge the value of a company or a market. To sit back and accept a major recession as a cost of going to war is just plan wrong.
>>During the next 10 trading days, as we approach the end of June, we have a strong chance of seeing the beginning of the second leg in the INDU bull market<<
So what is it about these 10 days and not the last 10 days....?
About July and not May....?
I agree with this completely and expect easing of tensions beginning in July, but any strength to the move depends on how well the markets psyche is handled. Done poorly and the declining values of real estate will be the next journey, along with rising unemployment.
I believe the coming months will be better, but not Great....!
Chip |
