kaltbaum pre market

Futures were flat until the White House said something about spending cuts…blah blah blah…and now futures up decently. Now…that’s funny. The new market “waiting with panting breath” is whether the “fiscal stiff” will get fixed. Maybe it is replacing Mr. Bubble and his pronouncements of more printing of money. In any case, there will be no spending cuts…just tax increases. We are screwed.

 

Markets remain in no man’s land and like a broken record, will tell you it can bounce at any moment. But any bounce is sellable and any bounce will be shortable as things rally back up INTO resistance and moving averages. Please notice 50 day moving averages are now rolling over.

 

So sit back, let the oversold conditions get relieved and unless there is a miracle where the market decides to turn up, we will attack when the oversold condition peters out. Again, if markets cannot rally despite, that means markets are at their most weak. That’s what happened at the 200 day for the S&P as it just sat there and then broke.

 

Options expiration today…which is meaningless to what we do. Slower week next week as market only open for 3.5 days.