For all the news developments the past few weeks, the S&P 500 has been stuck in a 'box' for over 3 weeks now. Roughly S&P 1260 on the bottom and upper 1290s on the top. Bears can claim that the market is working off an oversold state by churning, rather than rebounding. Bulls can claim the 200 day moving average is holding. So a little something for everyone.
Usually the longer the market goes sideways, the more powerful the ensuing move. But there is little to get excited about right now until we break out one way or the other. Until that point selling/shorting at the top of the box, and buying/covering at the bottom has been the no brainer trade. It is working yet again today.
Best Of FMMF
- 1: Warren Buffet Piles on Europe
- 2: [Video] Jim Chanos Returns from Europe, Even More Bearish on China
- 3: A Chart to Open Our Eyes - Staggering Changes by Multinationals in Employment Behavior 00s vs 90s
- 4: Futures Blasted on Dexia Woes... and Poor Preliminary China Data
- 5: Market Working to Worst Thanksgiving Since 1932
- 6: Et Tu, German Bonds? Poor Auction Raises Eyebrows