{"id":4481,"date":"2011-06-15T07:22:10","date_gmt":"2011-06-15T12:22:10","guid":{"rendered":"http:\/\/leavittbrothers.com\/blog\/?p=4481"},"modified":"2011-06-15T07:22:10","modified_gmt":"2011-06-15T12:22:10","slug":"before-the-open-jun-15-2","status":"publish","type":"post","link":"https:\/\/blog.leavittbrothers.com\/?p=4481","title":{"rendered":"Before the Open (Jun 15)"},"content":{"rendered":"

Good morning. Happy Wednesday.<\/span>
\nThe Asian\/Pacific markets closed mixed – there were no 1% movers. Europe is currently mostly down – there are no 1% losers. Futures here in the States point towards a gap down open for the cash market that will open the indexes near yesterday’s LOD and opening level.
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\nThe dollar is up…gold, silver and oil are down.<\/span>
\nThe big story is in Europe where Greece is feared to be on a path to default on its debt. This would inflict much pain on Germany, France and others who own the debt. The euro is getting hit hard, and as mentioned above, this is causing the dollar to rally which we know is not good for stocks in the US because of the negative correlation between stocks and the dollar.<\/span>
\nPandora (P) is going public today. The company has not turned a profit yet but is still valued at $2.5B. To some degree it’s nice to see the appetite for IPOs, but the increased supply is not something Wall St. can easily absorb right now. <\/span>
\nI’m going to call yesterday rally attempt #2. The first one was last week, but that immediately got sold into. Monday’s flat day combined with yesterday’s gap up start attempt #2. I’ve said a few times the last week: “if the market can’t rally when it ‘should’ or when it typically has in the past, the market is in trouble.” If the market can’t rally after 6 consecutive down weeks, there’s a definite character shift underway. Here’s the 10-day, 10-min S&P chart. The bottoming pattern measures up to around 1320.<\/span>
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\nMy stance remains the same. A bounce is due, so it’s ok to take partial profits on shorts, but I’d maintain exposure on the short side just in case a bounce doesn’t materialize and the market melts down. More after the open.<\/span>
\nheadlines at Yahoo Finance<\/a><\/span>
\ntoday’s upgrades\/downgrades<\/a><\/span>
\nyesterday’s sector performance<\/a><\/span>
\nthis week’s Earnings<\/a><\/span>
\nthis week’s Economic Numbers<\/a><\/span>
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