To: Johnny Canuck who wrote (36894 ) 5/1/2002 4:36:34 AM From: Johnny Canuck Read Replies (1) | Respond to We were looking for a bounce today in the market and a BOUNCE is what we saw. After opening slightly positive the market flat-lined for 30 minutes until the release of some key economic data, namely consumer confidence and the Chicago PMI for April. Once the disappointing numbers were released the market rallied hard to the upside in what was more month-end fund manipulation than it was buying on the supposed good economic data. Consumer Confidence fell in April, posting a 108.8 reading versus last months 110.7 number. Still, the market had wised up after last week’s Michigan Sentiment number and lowered estimates for today’s consumer confidence number to 107.5, which was easily beaten, giving reason for bull celebration. The Chicago PMI, a broad measure of manufacturing activity slipped to a reading of 54.7, down from last months 55.7 reading. As traders can see the bounce in the market had nothing to do with economics, if it was the market would have dropped toda! y. It was simply a rally off an oversold condition with month-end Fund gaming. Still, the rally was impressive based on the broad-based nature of it, with most sectors participating. And so today marked the 8-straigth time April 30th has been an up day for the Nasdaq. Traders should note that May 1st is also a good trading day historically for the Nasdaq closing up 5-years straight (its win rate however is only 59%). May 2nd is also a very good day for the Nasdaq with a 78% win rate.buysellshort.com
