Day Trading – The Bullz And Bearz

Continued Weakness Through Mid-Day – The Breakdown Begin

March 27th, 2009

Following reports of more bad news from banks coming soon and the horrible jobs numbers this morning, the markets are starting to slowly show signs of another bear-market rally break down. While there is still much more downside room to run, you can definately see it in charts that we are running out of steam. Now with regard to the member’s portfolio, all of our positions are showing profits today – not amazing 10% moves or anything but 3-4% moves. What’s even more exciting about our shorts is that they all look like slow forming cracks in a window – i.e. we are going to see more downside in the next couple of weeks.

 

Here is an interesting chart of the NASDAQ. Notice that we have successfully re-tested the underneath of the ascending trend line and pennant formation breakout from mid-Feb. This really just is confirmation for our tech short which is already in the money. Isn’t it amazing how accurate technical analysis can be when you use it correctly! Let’s hope for no suprises throughout the rest of the day. I personally don’t think anyone will be buying into the weekend after the week we just had. Happy Trading!

 

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