Sorry about the site crisis – the server crashed and the term "backup server" seems loosely defined, something I will address later.
I lost my post – this is the remnants of it. But at this point I’d rather move to comments.
Again, very sorry about the hassle this morning!
– Phil
They say that breaking up is hard to do.
Now I know, I know that it’s true. Some say that this is the end. Instead of breaking up the damn Dow keeps bouncing back off the 13,600 mark (how far did you really think they lyrics would take me?). Have we moved into a rangebound trading zone and, if so, what are the parameters?
Obviously 14,000 has become painful resistance for the Dow but we’ve also made a nice floor (we hope) at 13,500. On our Big Chart from yesterday, we can see that takes us neatly between the Dow "Breakout Level" and our "Next Goal" zone. It’s almost being too kind to say the S&P is holding 1,500 and we are a LONG way from a retest of 1,550 so we’ll settle for just getting back to our "Comfort Zone" at 1,505. Our best news comes from the Nasdaq, which seems to have formed a floor at 2,775, over our "Next Goal" level of 2,750 and right now, that’s what’s holding up the rest of the market so go Nasdaq!
Rangebound trading was my weekend prediction as we set up our FrankenGoogle play, which was designed to take advantage of Google’s wild gyrations. That range will be put to the test today as the GPhone excitement peters out and Alibaba/Yahoo mount a very serious competitive threat from across the globe.
BZH 68% cancellation, -53% new home orders. $82 last year. HOV
