Good morning traders! This is exciting. We might do it! We’re on the cusp of…… breaking even for the year. Wow. Mutual fund statements might get to start showing a “+” for the year instead of a “-“. Cool.
I am being facetious, of course, because it seems like we’ve been on a nice roll lately, but all that’s really gone on is a major struggle just to say we’re back to ZERO. Growth is out there, but it’s hard to find. Even Apple is going to struggle, hate to say it.
But here’s where we are, starting with the chart above (weekly, daily and 4-hour charts). I like to start the day and the week just getting a big picture view using these time frames.
Friday breakout from the 3-month range. 1240-1260 show resistance and 1255 is where we started the year.
Obviously my bias is positive, but that could change any time. What I am watching now is the reaction in the dollar. We are nearly back to the 200-day and it seems like a nice place to reverse. And given the fact that the Eurozone is due to announce on Wednesday its next plan, the stars may be aligning.
When 20 politicians have to agree on the next monetary policy for a region in something as crucial as a credit crisis, do you really think they can/will agree on the right solution and do so with an aggressive stance?
If they could, they’d have done it already.
I’ll let the market lead because I have no say. But this is what I am watching. Kinda feels like a drowning fat man who is coming up for a breath just before the current sweeps him under again.
Trade well and trade the extremes, always!