Hanging Tough

The market
continues to hang tough
despite being deluged with earnings,
Afghanistan developments and further outbreaks of anthrax. If you are playing
this market long, these are encouraging signs. From an intraday perspective, it
really does not have much impact. What is evident is that the morning sessions
are where all the action is. The afternoons offer only a handful of setups.

I wish there was something else to
tell you, but these are the facts. For the last few sessions I have been doing
only around 20-25 round turns, trading any more would certainly increase the
odds that I walk away at the end of the day with little to nothing to show for
my efforts. Make no mistake however, there are setups, and good ones, you just
need to be selective. Technical levels are where I am finding my best setups.

The earnings parade continues today
with IBM
(
IBM |
Quote |
Chart |
News |
PowerRating)
and Intel
(
INTC |
Quote |
Chart |
News |
PowerRating)
due to report after the close. Perhaps
these two tech heavyweights will break the market of its current bull / bear
struggle. 

Key
Technical Numbers

S&Ps

Nasdaq
1112.67 1448.43
1108.19 1428.33
1101.8 1415.66
1092.95 1399
1088.8 1379.66
1084.96
(confluence)
1344-45
(confluence)
1074.5 1330
1065  

Thought For The
Week

“When everyone thinks alike,
there isn’t much thinking taking place.” ContraryInvestor.com

As always, feel free to send me your
comments and questions. Additionally, my new
trading lesson
is now up on the website, be sure to check it out as it
relates quite well to the current environment the markets are now in.

Have a great day.

Dave