I am not too concerned about this slow opening and inability of Japan and HSI to maintain the forward thrust, do we really need that they can come along on their own pace but from depths to sanity is good enough. Malyasia capital controls will atleast make that country to pay all its obligations.Europe was far more weaker we had this rumor of dissmissal of DUMA and DUMA planning ti impeach the President although later denied the markets were very volatile, I would see this DAX close above 5000 a good sign..Lets not expect too much out of this fragile move here, I will like and love to see that this whole business trasfers up to my higher grid which is a quite a good possibility i.e. 1070 grid but for that we need this support to be tested the 1015 area, not forgetting the gap between 974 and 998 opening, however in overall trading we can overlok the gap considering the cue on Friday as we headed lower was well taken the support 7500 was retested and that was a second or a third test , I will watch with interest my opening and ofcourse this is a typical locals day, they will look at the stops and run them both ways so volatility is one thing granted but 1035 is important level today and I will not at all be surprised to see 1035 being tested..go back to this trend on bhumbo 1- you find my points clearly or dig my posts in that period you will find something interesting..Nikkei will take out 15200 now.
Good you had some long trade pre-positioned, now for today I will think we open lower test that 1015 area, the people who will be short would need to be stopped out, so and I will like a long trade in this region of 1015-1018 area if it holds, on DOW we will see some test of 7985 area but I expect the supports to hold, I will like to buy on a bounce or break of 1002 area some kind of puts to protect my downside but I will go in month of Oct..992 984 972 955 remains very solid supports and one can trade the market in between if we slide, but in my opinion we are going to test that 1052 area before we see the lows again, however the strategy is to be clear, I will take my profits on long calls of SOX if INTC TXN start breaking 80 and 511/2..I have strong feeling that market would like to take that 1052 area run it their, the Japnese interest cuts will not be ignored as OECD countries do these things in tandem-- you remember the invisible hand of Rubin in $ weakness -- one guys gets the $ down and other shifts the emphasis from hike to neutral, AG and Rubin finetune the fall.. without doing anything-- when money talks bs walks! |
