Before the Open (Jun 29)

Good morning. Happy Wednesday.
The Asian/Pacific markets closed mostly up. Australia, India, Japan, South Korea and Taiwan rallied more than 1%, but China dropped 1.1%. Europe is up across the board; all the major exchanges are up at least 1%. Futures here in the States suggest a moderate gap up for the cash market. This of course comes off two solid up day – the best two days combo since the market topped.
You’ve seen the index charts…the Nas and Russell have broken out of bases; the Dow and S&P are near resistance. And many individual stocks have been on great runs. Other than volume being weak, the market isn’t acting like this is a dead-cat bounce within a downtrend, it’s acting like a new leg up is in the beginning stages. What happens the next couple weeks is not something I can predict. I’d suggest being nimble and not getting married to an opinion or position.
Last week the Fed failed to inspire Wall St. Then the gains from the Greece bailout news were quickly sold into. The indexes were near support and several indicators pointed towards a likely bounce, but nothing said a leg up was going to materialize. Surprise surprise. Wall St. works in funny ways.
Be nimble. That’s the best advise I can offer right now. I have good long and short set ups. There are reasons to be optimistic and pessimistic. Trading the charts as the unfold is probably better than digging your heals in and rolling the dice. And if you trade the charts as they unfold, you’ll release yourself from having to figure out what will happen next…you’ll be relaxed and better able to react…and I bet your trading will improve. More after the open.
headlines at Yahoo Finance
today’s upgrades/downgrades
yesterday’s sector performance
this week’s Earnings
this week’s Economic Numbers