Wednesday, October 01, 2008

2008-10-01 Market Watch

The pullback today is expected, and the broad market, especially the financial sector, is fairly strong.  Probably people were very positive to the passage of $700B bailout by both the senate and house.  Will the government intervention change the big picture?  Yes, the near-term outlook is certainly bullish as everyone believes, but the intermediate-term and long-term outlook depend on the economical fundamentals.  Let's see.

SPX 60-min:

spx

I expect SPX rises steadily to 1180-1190.  After that what will happen?

XLF 60-min:

xlf

QQQQ 60-min:

qqqq

Do not open long positions on QQQQ.

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No chart for SSCC/TAN/POT/EWZ, etc.  Wait until the market is stabilized.

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