Year end window dressing. Remember, this is the last day to trade for 3 day settlement of shares in 2007. The reason that it's not really up, is that there is still some tax selling going on. We are the batters, the market is the pitcher, we have to respond to what "is" - not what we "wish" ....... Directional trading takes it's toll after a while. FWIW, Happy New Year! Don
I forgot the mention that credit (i.e. money) is being destroyed faster than it can be pumped back in. Deflation anyone? Most everyone thought Greenspam was crazy when he lowered the rate to 1% on deflation fears. http://seekingalpha.com/article/58199-money-supply-growth-it-s-much-worse-than-that?source=feed
"The thing to determine is the speculative line of least resistance at the moment of trading; and what he should wait for is the moment when that line defines itself, because that is his signal to get busy." "...open mind and reasonably clear sight, for it is never wise for a speculator to fit his facts to his theories."
Rates up because nobody wants to buy our debt anymore. DJ Treasurys Sink Heavily On Poor Auction, Despite Housing Dow Jones Newswires Emily Barrett New York (Dow Jones)--Prices fell heavily for much of the post-Christmas session, dragged by the dead weight of $22 billion in new two-year notes that drew only tepid demand at auction.
If the trend is up, look for longs. If the trend is down, look for shorts. If no trend, do errands. If the trend is about to change look for confluence before calling the change. Only thing rigged is your ability to perform something so simple. Anek