Good morning. Happy Thursday.
The Asian/Pacific markets closed down across the board. Australia, Singapore, South Korea and Taiwan each dropped more than 1%. Europe is currently down. Austria and Germany are down more than 1%. Futures here in the States point towards a moderate gap down open for the cash market.
The dollar is up. Oil and copper are down. Gold and silver are down.
Europe remains in the headlines. There’s uncertainty over Greece getting another bailout which will enable them to avoid defaulting next month (kind of funny…Europe gives Greece money, then Greece turns around and gives it back in the form of a debt payment). The borrowing rates for Spain and Italy rose, and the euro dropped.
In the near term the market needs to pull back or at least continue resting (from a technical standpoint). In the intermediate term, the trend is strong enough that a pull back should get bought and new highs eventually made again. In a way, it’s nice we have this uncertainty from Europe at the same time the market needs to correct anyways…get ’em overwith at the same time.
Don’t be a hero out there. As of today’s open the S&P will be unchanged since its February 3rd open. The number of good set ups we have to work with has declined, and the success of the set ups has not been as good as two weeks ago. Don’t force things. It’s better to sit in cash and wait for the market to settle down than force the issue and dig yourself a hole. More after the open.
headlines at Yahoo Finance
headlines at MarketWatch
today’s upgrades/downgrades
this week’s Earnings
this week’s Economic Numbers
0 thoughts on “Before the Open (Feb 16)”
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Regarding AAPL, I’m viewing this recent parabolic rally as having begun from the 420 area. Since yesterday’s high, the decline (using an hourly chart) has unfolded thus far in a 3 wave pattern while finding support this AM at a .382 retrace from 420 to yesterday’s 526 high. A further decline (there’s a gap below in the 477-480 area)would create a 5 wave downside pattern and an EW impulsive wave count implying further downside after a bounce.
NDX has already negated a 5 wave hourly downside wave count and has confirmed a 3 wave decline. It will be interesting, IMO, to watch AAPL’s behaviour as compared to NDX to see whether this pullback in all the indexes has further downside or just becomes a sideways pattern before another thrust to new highs. The key for AAPL is 502. A move above 502 implies a 3 wave completed decline (in line with NDX) unless AAPL breaks down to a new low first.
why is my “before the open”page not opening or updating properly
Pete,
i only have delayed data on apple with worms so i cant comment
re the ndx 100—i see a slight pop above the 1.27 fib from the aug low which usually stops a corrective pattern
also i see a slight pop above a broadening megaphone from feb 2011
AussieJS – If you go back to calendar yr 2002, I see a 3 wave advance (ABC) in NDX wih a potential target of 2750. Today, the decline in NDX & AAPL is a confirmed 3 wave corrective pattern, IMO. To me the major indexes are in wave 4 of C or grinding higher already in wave 5 of C, e.g. I think the advance to complete wave 5 of C in SPX may turn out to be an “ending diagonal”.
Thanks Pete