Today: The S&P futures after failing the daily resistance line test, and failing
yesterday down through the “Dubai” crises low, continue to fail more this
morning. We have unemployment out this morning, which is not going to be
stellar I am sure, but it’s relevance I believe has become marginalized by larger
over riding factors, and the sell off has taken on its own life. If we could even
get some lift off the number, it most likely will be used as just another
opportunity to lay into this index. On this move down, I like the 1044-1041.50
area as support, that is the “long” term support line, and the index should
respond somewhat to it. If it trades below, it should act as a possible resurface
level, the problem with that is that as a resurface number off the “long term”
chart, its response could be over weeks. So I put it out there as a support level,
if we go through, just back off that thought, remember that level of resurface
over all, and don’t get in the way of the freight train. I will put out some
resistance levels below though that may be areas to get into this downtrend, as
possible pullback entries. The problem is that there is no confidence,
regardless of U of M surveys of some academia’s who don’t know crap might
say, there is no confidence in anything. That’s one of the problems when you
put in an un-vetted administration, etc. The flipside is that even though some of
the “robustness” of these markets has not been present, this is what “traders”
live for, so pull in the size a bit, and rock and roll, this volatility is just getting
started.

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