{"id":4820,"date":"2011-09-01T07:19:34","date_gmt":"2011-09-01T12:19:34","guid":{"rendered":"http:\/\/leavittbrothers.com\/blog\/?p=4820"},"modified":"2011-09-01T07:19:34","modified_gmt":"2011-09-01T12:19:34","slug":"before-the-open-sep-1-3","status":"publish","type":"post","link":"https:\/\/blog.leavittbrothers.com\/?p=4820","title":{"rendered":"Before the Open (Sep 1)"},"content":{"rendered":"

Good morning. Happy Thursday.<\/span>
\nThe Asian\/Pacific markets closed mixed and with an up bias. India and Japan rallied more than 1%. Europe is currently mostly down. Germany is down almost 2%. Futures here in the States point towards a negative open for the cash market.
\n<\/span>
\nAugust is in the books. All the indexes (except the Russell) closed above their 20-month MA on the monthly charts…not bad considering where the indexes were two weeks ago.<\/span>
\nThe Nas bumped up against its previous support level yesterday but got rejected. The Nas 100 is within its large consolidation pattern (albeit near the bottom). The other indexes have room to move. <\/span>
\nThe market has moved up 7 of 8 days and 11 of 15. The biggest rallies always ocurr when the market trends down, and within a downtrend, there will always be bounces that last a couple weeks or even a couple months. So given my shorter term trading time frame, even within a downtrend, I’ll be long just as often as I’m short. Hence why we’ve had so many good long set ups to trade the last week. I keep looking for them becuase they’re out there and there’s money to be made.<\/span>
\nThere’s lots of econ news out this morning and then of course the employment numbers tomorrow. Then we have a 3-day weekend. The market is in the midst of a nice winning streak, but volume has generally been on the lighter side. It picked up yesterday. Earlier in the week I was looking for volume to confirm the move up. Now I’m looking for volume to signal a blow-off top. Volume that occurs suddenly late in a move tells me the the shorts are panicking and the late-to-the-party bulls are buying at any price because they’re afraid to miss the ride. <\/span>
\nWe’ve had some nice moves the last two weeks. Many of our long trades have hit there targets, and we have many less good set ups to play with. Considering the winning streak and jobs report that lingers, this isn’t a time for big bets. The indexes will stay volatile for a while, so it shouldn’t be an issue to shift into conservative mode from time to time. More after the open.<\/span>
\nheadlines at Yahoo Finance<\/a><\/span>
\ntoday’s upgrades\/downgrades<\/a><\/span>
\nthis week’s Earnings<\/a><\/span>
\nthis week’s Economic Numbers<\/a><\/span>
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