Line In The Sand

After four days of feeding the Bears almost took a nap. Overall on a psychological note it was a bad day. The market gave up most of its gains but we could have gone down harder after a big reversal. Under the surface, energy (Services), materials and agriculture were very strong and a lot of those stocks hit 52-week highs. A look at the internals, not a rosy picture. Excet for the NYSE Decliners outpaced advancerd and the down vol was greater than up vol. Number of new lows to new highs was at a 5:1 ratio(NYSE)and 7:1 on the Nas.


Critical Levels :


Dow Jones Industrial Average (DJIA – 13,056.72) - support at 12,500; resistance at 14,000


S&P 500 Index (SPX – 1,447.16) - support at 1,400; resistance at 1,510


Nasdaq Composite (COMP – 2,602.7) - support at 2,500; resistance at 2,800



Today its all about the Job report. Futures are up six, if the market doest blast up from here we are in real trouble for the broader markets but if you are in the sectors that work the pain will be less till investors think stocks are a bargain again. Hold on tight it's about to get nerve racking!