Here's the amateur, glue sniffing, technical analysis perspective for today (which would have appeared alot more credible, if I could have posted it the last hour, but I was having connection problems.)
For what its worth, 8800 was the clear lower bound support level for the djia congestion range we've been in (8800 to 9200). And if we crossed that lower bound (on relatively high volume), then a strong sell signal would be generated that many market participants would heed.
I thought we would significantly break 8800 yesterday (we nudged it), but today seems to be the day. Since the dip buyers couldn't keep us from falling through the 8800 floor support, they may wait for a far lower floor (my guestimate is 8500 before any real gains can be made).
The only reason, I'm bringing this up is to make a simple point. For daytraders and market timers, fundamental analysis is of little use. There simply isn't enough frequently forthcoming info on any particular stocks to guide your intra day, short term trading. That's why so many of them turn to technical analysis for short term clues. Reevaluating the balnace sheet isn't going to help you and trying to extrapolate the economic conditions for each company based on the daily macro outlook is pretty dubious at best.
Often, the charts, breadth indicators, bolinger bands adv/decl....yadda yadda, can provide you with the best short term clues. |
