{"id":606,"date":"2009-03-03T06:30:35","date_gmt":"2009-03-03T11:30:35","guid":{"rendered":"http:\/\/leavittbrothers.com\/blog\/?p=606"},"modified":"2009-03-03T06:30:35","modified_gmt":"2009-03-03T11:30:35","slug":"before-the-open-107","status":"publish","type":"post","link":"http:\/\/blog.leavittbrothers.com\/?p=606","title":{"rendered":"Before the Open"},"content":{"rendered":"

Good morning. Happy Tuesday.
\nI said yesterday the charts didn\u2019t matter much because the market was on an edge. It was either going to break down and result in a horrible collapse or rally. There was no middle of the road. Draw all the lines you want on all your charts; they don\u2019t matter as much when emotions are running high. Now it\u2019s a new day, and after all the indexes suffered steep losses yesterday and closed at their lows, I still don\u2019t think the charts matter much.
\n7 of the last 8 weeks have been down weeks.
\n10 of the last 11 days have been down days.
\nYesterday we got pretty close to a 90\/10 day. That\u2019s where 90% of stocks drop and 90% of volume is declining volume. We also got a nice move up in the VIX (shown below). A cluster \u2013 or at least two \u2013 90\/10 days would likely result in a bounce lasting several weeks or longer whereas an isolated occurrence wouldn\u2019t have as bullish implications.
\n
\nMany months ago I loosely pinned my SPX target at 600. Some people thought I was nuts, but now that we\u2019re only 100 points away, it doesn\u2019t seem so far fetched. In fact some people have no leap-froged me and said the market is falling to 500. Based on the weekly chart charts shown below, depending on whether the size of the descending pattern is used or the move into the pattern, the target is either 600 or 400. I an case, I don\u2019t make money predicting the market; I make money trading it, so my projects are there only to give me a frame of reference to work from.
\n
\nheadlines at Yahoo Finance<\/a>
\nmovers & shakers from MarketWatch<\/a>
\ntoday’s upgrades\/downgrades<\/a>
\nthis week’s earnings & economic releases<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Good morning. Happy Tuesday. I said yesterday the charts didn\u2019t matter much because the market was on an edge. It was either going to break down and result in a horrible collapse or rally. There was no middle of the road. Draw all the lines you want on all your charts; they don\u2019t matter as […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[2],"tags":[],"_links":{"self":[{"href":"http:\/\/blog.leavittbrothers.com\/index.php?rest_route=\/wp\/v2\/posts\/606"}],"collection":[{"href":"http:\/\/blog.leavittbrothers.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/blog.leavittbrothers.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/blog.leavittbrothers.com\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"http:\/\/blog.leavittbrothers.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=606"}],"version-history":[{"count":0,"href":"http:\/\/blog.leavittbrothers.com\/index.php?rest_route=\/wp\/v2\/posts\/606\/revisions"}],"wp:attachment":[{"href":"http:\/\/blog.leavittbrothers.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=606"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/blog.leavittbrothers.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=606"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/blog.leavittbrothers.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=606"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}