{"id":5414,"date":"2012-03-06T08:31:07","date_gmt":"2012-03-06T13:31:07","guid":{"rendered":"http:\/\/leavittbrothers.com\/blog\/?p=5414"},"modified":"2012-03-06T08:31:07","modified_gmt":"2012-03-06T13:31:07","slug":"before-the-open-mar-6","status":"publish","type":"post","link":"https:\/\/blog.leavittbrothers.com\/?p=5414","title":{"rendered":"Before the Open (Mar 6)"},"content":{"rendered":"

Good morning. Happy Tuesday.<\/span>
\nThe Asian\/Pacific markets closed mostly down. Hong Kong and Singapore dropped 2%; Australia and China dropped more than 1%. Europe is down across the board. Austria and Stockholm are down more than 2%; Belgium, France, Germany, Amsterdam, Norway and London are down more than 1%. Futures here in the States point towards a large gap down open for the cash market. <\/span>
\nThe dollar is up. Oil and copper are down. Gold and silver are down. <\/span>
\nI stated over the weekend the breadth indicators had to reverse or the market would drop. There was no other way. Yesterday the market dropped (although the small caps eeked out a small gain), and today futures are down a bunch. Divergences can persist in the near term, but they cannot last indefinitely. <\/span>
\nThe 10-day of the AD line is now below 0; so is the AD volume line. New highs have put in a lower high. Copper couldn’t match the market’s higher high. The semis broke down yesterday. The banks got rejected by a key level. The sum of all this told us to be super careful.<\/span>
\nA minor pullback takes the S&P down to 1340ish (see chart below). A pullback this is more than an innocent correction within an uptrend takes the index to 1300. <\/span>
\n\"\"
\nDon’t be a hero out there. If the market wants to pull back, let it pullback. Don’t stand in its way. More after the open.<\/span>
\nheadlines at Yahoo Finance<\/a><\/span>
\nheadlines at MarketWatch<\/a><\/span>
\ntoday’s upgrades\/downgrades<\/a><\/span>
\nthis week’s Earnings<\/a><\/span>
\nthis week’s Economic Numbers<\/a><\/span>
\n