{"id":485,"date":"2009-05-18T06:30:10","date_gmt":"2009-05-18T11:30:10","guid":{"rendered":"http:\/\/leavittbrothers.com\/blog\/?p=485"},"modified":"2009-05-18T06:30:10","modified_gmt":"2009-05-18T11:30:10","slug":"before-the-open-55","status":"publish","type":"post","link":"https:\/\/blog.leavittbrothers.com\/?p=485","title":{"rendered":"Before the Open"},"content":{"rendered":"

Good morning. Happy Monday. Hope you had a nice weekend.
\nThe market is coming off its first across-the-board down week since early March. It\u2019s been a heck of a run. Whether last week\u2019s weakness is the beginning of an extended move down or the beginning of a pullback within an intermediate term uptrend won\u2019t be known until after the fact. Our job is to play the odds and let the chips fall where they may, and early last week it was obvious staying long wasn\u2019t wise.
\nFutures were down soon after opening for trading last night but are now up; if they hold their current levels, we\u2019ll get a nice gap up at today\u2019s open.
\nA gap up within a downtrend (yes last week\u2019s action constitutes a short term downtrend) is typically shortable immediately or within 30 min of the open. We\u2019ll see.
\nI can\u2019t stress enough that you can\u2019t trade based on what\u2019s supposed to happen or should happen. You gotta trade based on what is happening. The government is playing a much larger role right now than is normal so the unexpected is happening (many banks should have gone belly-up but instead their stocks tripled and quadrupled, so don\u2019t argue with the movement).
\nAs pointed out over the weekend, the divergence between the Nasdaq and Russell (they led on the way up and are now leading the way down) and the S&P and Dow needs to be resolved. The Nas and Russell have broken support and are in the bottom half of their Bollinger Bands\u2026the S&P and Dow have held support and are still in the top half of their Bollinger Bands. Something has to give. The charts are below.
\n
\nIf the S&P closes below 875, I\u2019ll be looking for a move to the lower BB which is currently around 827.
\nheadlines at Yahoo Finance<\/a>
\nstocks to watch MarketWatch<\/a><\/a>
\ntoday’s upgrades\/downgrades<\/a>
\nyesterday’s leaders & laggards<\/a>
\nthis week’s earnings & economic releases<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Good morning. Happy Monday. Hope you had a nice weekend. The market is coming off its first across-the-board down week since early March. It\u2019s been a heck of a run. Whether last week\u2019s weakness is the beginning of an extended move down or the beginning of a pullback within an intermediate term uptrend won\u2019t be […]<\/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":"https:\/\/blog.leavittbrothers.com\/index.php?rest_route=\/wp\/v2\/posts\/485"}],"collection":[{"href":"https:\/\/blog.leavittbrothers.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.leavittbrothers.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.leavittbrothers.com\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.leavittbrothers.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=485"}],"version-history":[{"count":0,"href":"https:\/\/blog.leavittbrothers.com\/index.php?rest_route=\/wp\/v2\/posts\/485\/revisions"}],"wp:attachment":[{"href":"https:\/\/blog.leavittbrothers.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=485"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.leavittbrothers.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=485"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.leavittbrothers.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=485"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}