Thursday, December 8, 2011

Indices pulled back 1.63% to 2.11%, as ECB lowered expectations......

ECB went out of the way to lower expectations of "quick fix" crowd.

ECB, EU & IMF are all aware of European debt issues, but they are all working on an "incremental mode", as it involves approval of many many countries.

IF we are disappointed with "incremental approach" of EU / ECB, then we should look @ "no improvement" in ongoing US debt ceiling debate.....

We alway's expect more from others, quicker & faster.

EU has come a long way, with Greece & Italy dealt with, that is a major accomplishment in few weeks.....

So, we went down today, in an "over-reaction" mode.

S&P 500 low today was 1231.47, closing @ 1234.35

RSI @ 51.43

Oil closed @ $98.34

Gold closed @ $1713.40

VIX closed @ 30.59

AH news reaction :

TXN Down 5.85%

ALTR Down 6.12%

AH Futures UP

AH Asian Markets Down

AH Gold UP

AH Oil Down

PS...Chinese inflation data just released is "very bullish" for worldwide markets. CPI came in 4.2% estimate was 4.4%. PPI came in @ 2.7% estimate was 3.2%. This lower inflation will give Chinese Central Bank incentive to lower reserve requirement AGAIN, which will "stimulate" Chinese economy.

BLOG does NOT give buy or sell.

Saleem

25 comments:

c said...

Saleem

You Rock!!!!!!!! LVS and J the Cramer are a OK!! Hurray
Up in pre market

I am buying some pre market

My big 3 are green again --now for some pop

best to all I love stimulus

C

Stocks100 said...

Hi C,

Thanks for the feedback.

Hopefully, we all will count some green.....

Saleem

stocktrader_1996 said...

Hey Saleem,

Looks like the world really is ok! :)

I guess I'll be looking for some stocks again...

Stocktrader

Stocks100 said...

Hi Stocktrader,

Good luck with your stock picks.

BCSI was taken out today..47% premium.

Saleem

c said...

S

My MCD is popping--more breakout to come I say $100 is coming!

AMZN, BIDU and AAPL are not so hot

LVS is $44

Stocks100 said...

Hi C,

Big guns are so so or weak?

Saleem

stocktrader_1996 said...

Hey Saleem,

I sold my last SWC and COH to wipe the slate (of my big caps) and start over.

I will probably wait today out because Fridays can be tricky and would like to see a nice rally at close to confirm yesterday's technical problem was an anomaly.

Incidentally, the Baltic Dry Index hit a one-month high today! (I think I am too enamored with the shippers!)

Stocktrader

Stocks100 said...

Hi Stocktrader,

I think, markets should close @ high of the day.....

Hesitation @ start is due to the fact, that many HFT were short this market...they know how to cover without too much loss....?

Saleem

stocktrader_1996 said...

Hey Saleem,

The market looks *very* strong this morning--has the feeling of continued melt-up all day as you mentioned.

Stocktrader

Up said...

C

Look at option of AMZN, it is telling me stock will go lower. Today is the perfect day for it to break back to 196 but seems like every spark come will selling

c said...

UP

the big boys are not playing now

Maybe Saleem understands why they behave so poorly

As for options --my AAPL #365 call stinks for now.

Are you playing the options for AMAZON??
we need a catalyst to propel the market higher.

Best to all

Stocks100 said...

Hi C,

Market TAPE is the morning by TWO facts :

1-Many HFT were short & their buddy MM are helping them to get out @ minimum loss.

2-Today is weekly Option expiry, MM are keeping some stocks @ certain strike ..until their loss/gain is realized.

Saleem

Up said...

C

No, i don't want to touch AMZN now since it is a big boy stock and i see big boys are not so interest on this stock near term. When stock is up and option still off 20 cents. That already tell you something , right

stocktrader_1996 said...

Hey Saleem,

Price action today is fantastic, especially for the risk assets. I'm back in.

Bought: WWWW(1.5x), SWC(1.5x), ERTS(1.25x), RVBD, ULTA, COH, JKS, BAC, NM(0.5x)

Remind me not to get faked out next time! :)

Stocktrader

Stocks100 said...

Hi Stocktrader,

I have a habbit of not making suggestion, unless i am asked.

IF in doubt, please ask.

Good luck with your all-in.

Saleem

stocktrader_1996 said...

Hey Saleem,

One of the biggest reasons I went in so strongly is because I'm relatively underwhelmed by the EU resolutions but the market is really working higher forcefully. I think this shows the underweight positioning of traders and indicates the true longer-term direction of the market and the undervaluation of great companies.

You have played this market like a fiddle recently. Congrats to you!

Stocktrader

c said...

Stocktrader

Saleem Is unique and I love his blog-he keeps his finger on the pulse and keeps me out of trouble...

As for your buy and sell strategy

You alone , can only be comfortable with your strategy !!
So keep up with market direction which is UP, and believe that we are going to turn around and make new highs
I think that you are one smart trader....And very knowledgeable..

I wish we had a silver bullet ! They we could buy and sell with impunity,,, Smile

C

Stocks100 said...

Hi Stocktrader,

Thanks for your feedback.

EU has accomplished a whole lot in a short span of two months...26 countries are convinced it is the way to go..not a small feat.

US traders take cue from CNBC which as usual have no clue of European mindset & resolve.

YES..we are back to underweight in markets by many.

Saleem

stocktrader_1996 said...

Hey Saleem,

I expect some positive rhetoric from the Chinese premier over the weekend also. The data overnight was highly indicative of squashed inflation--time to take the foot off the brake...and maybe a solar FIT program for 2012? :) Probably just hopeful wishing HAHA.

Stocktrader

Stocks100 said...

Hi Stocktrader,

Chinese data is pointing to "series of rate cuts" which not only will stimulate Chinese economy but MAY prevent severe recession..only a mild one.

Saleem

Stocks100 said...

I mean recession in Europe...

Saleem

c said...

SALEEM

Looks like the big 3 are making a come back
amazon , apple , BIDU with LULU up 2 smackers
Hurray

C

Stocks100 said...

Hi C,

See, having conviction in your pick can create real$$$$$$

Saleem

stocktrader_1996 said...

Hey Saleem,

Wow, what a run on SWC! I can't make a move in anything until Wednesday now, so I can do some good analysis without the pressures of intraday moves. It is time to get the portfolio ready for next year.

Have a great weekend! :)

Stocktrader

Stocks100 said...

Hi Stocktrader,

What a move in SWC 10%+++, outstanding pick.

I had to say good bye to PCLN..it is sitting near lows & not moving @ all......

Good luck with research !!!!

Saleem