[INTRA-DAY ACTION]
Wow.
Today we could possibly reach some very significant areas in the S&P, FTSE and about every other major index. The S&P just touched on a 2 year double bottom at 1200, the same story goes on the FTSE too. If we fail these levels then there will be some serious action on the short side as the markets go into meltdown.
Oil is now also trading below $100.
I can't even think of a stock or sector that will benefit from all of this in the short term, so obviously my bias would be to short everything. The financials are going to gap down like nobodies business, and will probably sell off for the whole day. Meryl and AIG are the ones to watch, given that Lehman is officially bankrupt.. Unbelievable, that company is about 180 years old and it's just gone belly up within 4 years.
Charts galore is what I'll be posting later.
15:00 Update:
Big gaps down as expected as most stocks are hit hard. A few have already closed the gaps, Washington Mutual had a quick rally and has since tailed off after the gap price. I thought the techs might hold OK today, but a lot of them are down and flat on the gaps. The only sector really showing any strength today are the gold stocks, as most of them are up or even on the day.
Despite the weakness and volatility, the S&P 2 minute chart has proved excellent for simple technical setups in the short term with 6 or 7 nice measured moves ranging from 5-10 points since midday GMT.
Today we could possibly reach some very significant areas in the S&P, FTSE and about every other major index. The S&P just touched on a 2 year double bottom at 1200, the same story goes on the FTSE too. If we fail these levels then there will be some serious action on the short side as the markets go into meltdown.
Oil is now also trading below $100.
I can't even think of a stock or sector that will benefit from all of this in the short term, so obviously my bias would be to short everything. The financials are going to gap down like nobodies business, and will probably sell off for the whole day. Meryl and AIG are the ones to watch, given that Lehman is officially bankrupt.. Unbelievable, that company is about 180 years old and it's just gone belly up within 4 years.
Charts galore is what I'll be posting later.
15:00 Update:
Big gaps down as expected as most stocks are hit hard. A few have already closed the gaps, Washington Mutual had a quick rally and has since tailed off after the gap price. I thought the techs might hold OK today, but a lot of them are down and flat on the gaps. The only sector really showing any strength today are the gold stocks, as most of them are up or even on the day.
Despite the weakness and volatility, the S&P 2 minute chart has proved excellent for simple technical setups in the short term with 6 or 7 nice measured moves ranging from 5-10 points since midday GMT.
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