Provided we stay this way, I will now allow myself to cautiously look long. --Only on a proper setup/pullback. The longer term trend remains very bearish, so I will be looking in earnest for the next positional short. Nice rall today, but long term we should go lower.
News Highlights: Top Equities Stories Of The Day Last update: 11/13/2008 4:00:00 PM TOP STORIES US STOCKS RALLYING STRONGLY U.S. stocks soaring to their highs for the day after bouncing off their Ocxtober lows, with the Dow Jones Industrial Average sporting a gain of more than 390 points, helped by a bounce back for energy and materials stocks. Trading remains aggressively volatile with the Dow Jones Industrial Average swinging from a 300-point decline earlier in the session to a gain of nearly 400 points. HEDGE FUNDS DEFEND INDUSTRY AT US HOUSE HEARING Managers testify before Congress that their hedge funds didn't cause the current economic crisis, but rather it was caused by regulators who took a 'hands-off position' toward investment banks and credit default swaps. Some managers say hedge funds shouldn't be subject to stricter regulation in the future. US POSTS $237.18B BUDGET DEFICIT IN OCTOBER The U.S. federal government runs a record October budget deficit of $237.18 billion as it grapples to fund multibillion efforts aimed at stemming a global financial crisis and stimulating the nation's sluggish economic growth. US TRADE GAP SHRINKS; JOBLESS CLAIMS JUMP U.S. trade deficit narrows to a lower-than-expected $56.47 billion in September as Americans, frightened by a sinking economy, cut back on buying and send imports tumbling. Meanwhile, jobless claims jump 32,000 to 516,000 last week. WAL-MART NET RISES 9%, SEES 4Q HURT BY DOLLAR Retail giant earns $3.14 billion, or 80c a share, in 3Q, but sees 4Q profits below analysts' expectations and year earnings at the low end or below its prior forecast. Excluding items, 3Q EPS of 77c tops estimates by a penny. Shares fall 1%. ECONOMISTS SEE NO GROWTH UNTIL 2H 2009 U.S. economy is in the midst of the worst part of the recession, but growth may return by the second half of next year, according to economists in the latest Wall Street Journal forecasting survey.
Hee, hee look at it go. Sharks were feeding at 848. Took the early birds out, ran it right back to 848+ and off to 975 we go.
It was an oversold pre-expiration technical bounce. Could be two days of sideways to up action until Monday afternoon or Tuesday morning - SPX 960 to 970 top --------------------------------------------- The marketâs abrupt about-face left investors and analysts grasping for explanations. âI have no idea,â said Michael Feroli, an economist at J.P. Morgan Chase. âThe markets have two minds here. On the one hand, the data continues to be terrible. On the other hand, I think thereâs people trying to pick bottoms here.â The rally surprised many because it came on another day of glum government data that presages a broad and lasting economic downturn. Stocks had drifted all morning, then dropped off a cliff. The Dow Jones industrial average briefly fell below 8,000 points. âItâs whiplash,â said Howard Silverblatt, senior index analyst at Standard & Poorâs. âThereâs still no direction one way or another.â Thursdayâs roller coaster came after three days of losses for Wall Street. The Dow lost nearly 8 percent of its value since Monday, and the S.&P. was down 9 percent for the week â sharp declines that bring markets near lows they reached at the end of October. âWeâve taken an enormous hit over the last several days,â Mr. Silverblatt said. âThe volatility is enormous.â On Thursday, the government said that new jobless claims increased more than expected last week to a seven-year high. The Labor Department reported that the number of laid-off workers seeking unemployment benefits rose by 32,000 to a seasonally adjusted 516,000. That is the highest total since after the Sept. 11 terrorist attacks. Analysts expected claims to increase slightly to 484,000.