looks like a short term bottom with the possibility of a bounce

the markets came into today completely oversold and continued selling just after the open. I think the Easy money to the downside has been made now. Looks like we could have a bounce or at the very least a short covering rally. either way this looks to be a choppy end of the summer.

All shorts are covered now and I’m looking at Long positions, it looks as if theres alot of fear out there it might be time to get greedy.

this chart is from yesterday, today it should be significantly lower.

The S&P500 has come off by over 100 points in a mere matter of days. I don’t know if we’ll make it back to the previous high but i think we might get back to the 1310-1320 area. After that i would be putting tight stops in and perhaps look to get short again.




once the SPY rallies back up to the 131 area it should come down once again putting that big 200 day MA crossed over the 50, look out below after that.

I’m looking at some of the industrial names to play for a bounce in addition to the indexs.

Some particular names are Ford (F) Eaton (ETN) Suncor (SU)



I will be looking for Ford to bounce to around $14



ETN should bounce to about $49




SU could make it back to about the $40 area.


This market does seem as if has turned decidedly to the downside, so i will be nimble in these plays and only take small positions as i do not want to get caught if the markets pulls a repeat of 2008. Looking at stops 3.5% under the entry positions of today, after that we’ll place at breakeven
good luck to all out there