{"id":4978,"date":"2011-10-27T07:42:07","date_gmt":"2011-10-27T12:42:07","guid":{"rendered":"http:\/\/leavittbrothers.com\/blog\/?p=4978"},"modified":"2011-10-27T07:42:07","modified_gmt":"2011-10-27T12:42:07","slug":"before-the-open-oct-27-3","status":"publish","type":"post","link":"https:\/\/blog.leavittbrothers.com\/?p=4978","title":{"rendered":"Before the Open (Oct 27)"},"content":{"rendered":"

Good morning. Happy Thursday.<\/span>
\nThe Asian\/Pacific markets closed with solid across-the-board gains. Hong Kong rallied more than 3%…Australia, Indonesia, Japan and Malaysia more than 2%. Europe is doing even better. Austria and France are up 5%, Germany and Stockholm 4%. Futures here in the States point towards a huge gap up open for the cash market.<\/span>
\nWhen the market closed yesterday I was thinking today would be a semi important day. The market broke out Monday, pulled back Tuesday and then moved up again yesterday. A down day today would continue the boring action where the market jumps and then grinds for several days before continuing. A solid up day would constitute follow through from Monday’s breakout. I was thinking the market was going to establish an uptrend personality, and today would be a day that hinted at what that personality would be. <\/span>
\nBut news out of Europe is trumping everything. Greek bondholders will be accepting a 50% write down on Greek debt and Europe boosted their rescue fund’s capacity to $1.4 trillion. Who wins and losses with this news isn’t something that concerns me. Wall St. doesn’t like uncertainty, and this clears things up. Whether they’re just kicking the can down the road until Greece needs more help in a year or so or whether they’re setting a terrible precedent for the next country to fall isn’t something Wall St. cares about right now. For now, the odds a Greek default ripples through Europe is small, so Wall St. is relieved.<\/span>
\nMy bias has been up for almost this entire month. If you’ve listened to me, you’ve been on the right side of the market and have probably registered your best month of the year. As of today’s open, the S&P will be 200 points off its early-October low, and we have yet to get back-to-back down days this entire month. You couldn’t ask for a better situation. Trade what happens, not what you think should happen. 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>
\n