10/29/2010 premarket | Bulls on Wall Street

10/29/2010 premarket

 
 
Morning folks. Futures under a bit of sell pressure. Investors are still in flux or playing waiting game on the fed on qe2.  We also have a GDP number out that shows 2% growth a slightly better than expected number.  The number just came out so there is absolutely no way the market has digested the report as it willt ake quite some time to read through the numbers and see exactly the nuts and buts of it is.
 
A guy who will be able to digest it and relay it in an easy manner is Barry Ritholtz he runs the best econ blog around 

http://www.ritholtz.com/blog/
usually he has pretty good analysis
 
 
we have another busy day for earnings. Keep an earnings calender by your side dont get caught ina mess. But also be aware of earnigns beats. The “surprise” is the most powerful catalyst in the stock market. A good earnings surprise really can launch  a stock
 
3 will also attract some attention this morning – Chicago PMI at 9:45, Consumer Sentiment at 9:55 and the ECRI Leading Index at 10:30.
 
We are gapping down today…but we have had many gap reversals or at least mini comebacks off which ever way the gap has gone this week.
 
We have had many choppy sessions of late…its made the trading extremely difficult. I expect more of the same  today especially since its Friday.  Be careful not to blow 200 in commisions to make 300 today. That seems to be whats happening to me this week. 
 
But as long as we are above major support levels. 1st being 20dma then this is a long only market for swings.
 
 
My gut gut feeling is this is a shakeout…With elections approaching and people expecting a sell the news event. This can shake out nervous longs..embolden some shorts with all this choppiness..Then we get a big squeeze and pin down the shorts into a big hole.   The “turn” will be when we least expect it.

 

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