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I'm using a pivot number for today of 4631 on the ES (S&P 500 futures). Our strategy was to keep our hands in pocket to see the outcome of the big reaction on Friday and the counter reaction overnight to see which way this trend is going to go. The first hour will be very important to establish the Reference Bar framework to help us decide that. Stocks have been bid up in Asia and Europe but they have not come close to the halfway mark of last week's down move. SHAK came very close to breaking 75 last week. If it does, what we will do is try to take a profit on the position we have … and then reposition further out with options, as I think the long-term downtrend is in force. ~ TBUZ | |
After a news-driven pull back over a holiday weekend, watch the first hour of the cash open. See if the market regains legs or continues a fall especially below S&P 4589 area. If weak, take a cautious look at Corning (GLW) to move back down to $35.71 for a first target. | |
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