Market turn or HUGER head fake: AT this early point Wednesday morning, it looks like Tuesdays huge rally may well be a huger head fake. Europe preceded the US this time, rallying Monday and Tuesday in response to Greenspan's remarks on Friday, and at this early time on Wednesday, Europe is not following through on US's 380 point jump. Europe is down about 1% and the S& P Futures are down 20 points.
My own prognosis is a market rally back to 8300-8500, then further deterioration, probably re-testing the 7500 area, perhaps lower, perhaps significantly lower. Still view this as a time to lighten up, get out of margin, and hold stocks that are comfortable for the long term. This is larry investor speaking.
As for short term trading, best of luck to those of you who are nimble enuf, are able to control your emotions, and are smarter than the market. I do not include myself in this camp. larry |
