{"id":2836,"date":"2010-03-22T07:38:30","date_gmt":"2010-03-22T12:38:30","guid":{"rendered":"http:\/\/leavittbrothers.com\/blog\/?p=2836"},"modified":"2010-03-22T07:38:30","modified_gmt":"2010-03-22T12:38:30","slug":"before-the-open-mar-22","status":"publish","type":"post","link":"https:\/\/blog.leavittbrothers.com\/?p=2836","title":{"rendered":"Before the Open (Mar 22)"},"content":{"rendered":"

Good morning. Happy Monday. Hope you had a nice weekend.<\/span>
\nThe Asian\/Pacific markets closed mostly down. Europe is down across the board – there are a couple 1% losers. Futures here in the States point towards a decent gap down open. <\/span>
\nLast week, the Dow, Nas and S&P gained ground while the Russell dropped. Given the Russell had been leading, it makes sense the index dropped the most. Some will say the stocks and groups that lag on the way up do the worst when the market tops and rolls over, but that’s not how things work in reality. The stocks and groups that rally the most turn around and drop the most when the market pulls back. <\/span>
\nThe big news over the weekend was the passing of a healthcare bill by the House.<\/span>
\nAll last week, despite the continuation of the uptrend (until Friday’s weakness), I was in a conservative wait-and-see mode. The trend was firmly in place, but for various reasons, I didn’t think playing new upside breakouts was a great idea. The risk\/reward wasn’t great. Breakouts that occur at the beginning of a leg up do great because they get lots of help from the overall market. But breakouts that occur within a mature trend have a harder time because it’s not easy tacking gains on top of gains. <\/span>
\nAs of now I’m still of the opinion the trend is up, but a rest is needed. But there remains a possibility the market ignores everything and ‘melts up.’ <\/span>
\nHere’s the S&P daily. <\/span>
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\nMy attitude entering this week is the same as last week…I’m not crazy about chasing breakouts to the long side, and I don’t have much interest in going short other than for quick trades here and there.<\/span>
\nheadlines at Yahoo Finance<\/a><\/span>
\ntoday’s upgrades\/downgrades<\/a><\/span>
\nthis week’s Earnings Reports<\/a><\/span>
\nthis week’s Economic Numbers<\/a><\/span>
\n