Bad news for sure! I think we have fallen enough from the highs to be in an official bear market now. 
The SPY, along with the S&P, confirmed a head ‘n shoulders pattern by breaking through the neckline.
Oh my!
Check out some of these other shenanigans: TSLA after being up $8 for the day, closes in the red; DNDN after closing about 4% in the red ($32.22) continued to dive after hours, trading at about $25; Oil is running down and BP is running up…What the $%@&*!
This evening, China PMI came in below expectations, so futures are in the toilet, at least for now. The bear is back! When a market opens higher and closes near or at the lows…THAT is classic bear market price action. 
Our one salvation is to see what the European reports come in like. I think I’ll go and by some firecrackers for the weekend. 
Well, I said it would hurt! All my stock longs were crushed. The only redeeming action I took was hedge scalping with the ES. They were counter-trend plays scalping 3 to 5 ticks at a time. But all I came up with was a breakeven for the day. Success!
QQQQ now down 8 straight days. Only 3 times in QQQQ history has it been down 8 in a row, so we should see some relief. Circuits were tested — Circuit Breaker Kicks in, Stopping Trades of Citigroup and other financials weren’t any better: Financials take hit.
So the rest of the week will tell us if we have bottomed or just entering a new bear. It will come down to jobs, jobs, jobs. And remember, after Monday and Tuesday even the calendar says W T F . . .
Well, today didn’t go the way I thought…or wanted. The bulls really dropped the ball as they had some good news and good technical setups but didn’t have any energy to gore the market. On the other hand, the bears had an opportunity to rip out the bull’s heart, but they failed also! Look, we ended with another candle just like Friday…although this was also a bearish engulfing candle, small, but engulfing.
If the bulls don’t show some determination on Tuesday, I’d say the market is done for. I’m hoping that this week traders will get some patriotism running through their veins and get the market waving the old red, white and blue. Let’s run that up the pole and see if it flies!
The news from the G20 meeting sounds encouraging and oil looks like it wishes to be a leader. But the weekly S&P chart put in an ugly bearish engulfing pattern.
The daily chart though, looks like it poked out a bottom on Friday and may want to try the green side of the market for at least a few days.
The week prior to a holiday is usually bullish, so we have that seasonal advantage working for the bulls. Next Monday the markets will be closed for the 4th of July holiday, but this Friday morning we have the always fun and wild monthly employment report. So the markets will be fun again this week. Be careful and happy trading!
As I ready the pontoon boat to spend a day on the lake….if it doesn’t rain, I leave you some interesting reading for a Saturday morning.
I’m getting more and more bullish just because CNBC is getting more and more anti-bullish…a great contrarian indicator. 
Yes today’s market didn’t do anything great, but it also didn’t do anything terrible. I need to go through the charts this weekend, but I think we may be in for a decent bounce. Where it will lead I do not know….but I’m looking for more up than down.
Here’s some news I picked up on during the day:
Now, it’s time for me to get on a soapbox…..today’s FinReg bill (and also going back to that ugly Healthcare bill), is total bullshit! And I’m more pissed at healthcare because I got my new invoice for my medical insurance. I used to pay $1500 per month for my wife and I. The new bill is $4200….yes per month! Yes, a 300% increase. The excuse is that we turned 55 years old this year! Fuck you Medco Health! So I went looking for another provider. Their quote was $8500. I thought great…yeah…per year. Uh, excuse me…that’s per month! $8500 per month?? Fuck you!
Since they “fixed” the credit card system last year, my interest rate on my credit cards has doubled and a few have been closed. What the $%@&*! Y’know, I didn’t vote for BO because I knew he didn’t know shit and had no experience to run any business, much less the United States. But I never thought it would get this bad! I can’t wait for 2012. At least I can vote out some of his asshole buddies in congress in a couple of months!
I digress. 
Have a great weekend
In my 10+ years of trading, it has never been tougher than trading this week. Both banks and oil led us down. Banks kept us down while oil looks like it’s trying to recover. The only thing I traded today was ES, the S&P emini. Looking over the trades, not one was more than 5 minutes and several were under 120 seconds in duration! Oh my! Sure it was a down day, but all my trades were long.
Check this out….you would think we would go a lot lower with a VIX of 349!!
Sure it’s a bad tick, but I thought I’d grab a picture of it just to remember.
The TRIN again closed high at 2.99. Remember what I said a couple days ago when the TRIN closed at 3.82…The Arms Index says: TRIN close over 2.0 results in bounce next day 9 times out of 10. No bounce? Market in trouble…..and we got NO bounce…and yes we’re in trouble.
So we’re down 4 days in a row. A 3 or 4% correction is no big whoop, but that is assuming tomorrow the markets get back on track and show some bullishness. If not, the bear is back and we may be on our way to some new lows.
I guess life would be easier being a criminal and/or an illegal alien.
Imagine all the money you would have if you got all your education and medical care for free, and you didn’t have to buy all those licenses for driving or being a union member. Ahhh, life would be so easy.
Can’t wait until World Cup Soccer is over .. we need all the volume we can get back into the markets! I was waiting for the Fed rate decision because I wanted to play that knee-jerk rollercoaster in the few minutes after. But no! It’s like my screen froze…nothing happened. It took ten minutes before any significant move was made. And it sure wasn’t violent or crazy.
I was most disappointed that oil took such a dive…it was oil that led us up the past couple weeks and I don’t want it to lead us down. It did try to recover during the day, but went back down near the day’s end.
I’m afraid the entire day on Thursday will be framed by the jobless initial claims number. This time I hope the government dresses it up to show the number coming down. 
There’s a lot of news brewing outside of economic reports that will affect the markets in the coming days. Check these out:
Oil, currencies, banks and presidents…gee, do you think any of those matter to this market?
Fading the opening gap seems to be the thing to do the past two days! The S&P eminis were a total chopfest during the morning. But then the bears took the reigns and bye-bye market. Volume was a bit heavier today than yesterday, but it wasn’t a panic. Yes we had a confirmation of yesterday’s bearish engulfing pattern, we lost the 200-day moving average, and we cussed up a storm all afternoon…What the $%@&*!
Many indicators have quickly gone from overbought to oversold. The TRIN closed at 3.82. The Arms Index says: TRIN close over 2.0 results in bounce next day 9 times out of 10. No bounce? Market in trouble. So I guess we have to wait until tomorrow to see how it goes.
Remember, after Monday and Tuesday even the calendar says W T F . . .
Sometimes, entranced by the screens, watching equities, options and futures change colors, charts moving in a wave, and indicators pointing in every direction, I just have to scream....
