Monday, September 27, 2010

Stock market review

The daily index charts still look bullish but heading into the last hour of trading today, it seemed as if the bulls would be able to make the market close in the green today. But weakness in the financials (what else??) insured that the markets closed at their lows for the day. As far as the S&P is concerned, 1150 continues to act as tough resistance whereas support can be expected at 1132.

Russell 2000 paints an interesting picture. The small cap index got rejected right at the top of the trading range for the fourth time in last six trading sessions.

The financials continue to provide direction to the markets. The index closed right on top of MA(50). with MA(20) also providing support. Watch out for this level tomorrow for a sense of direction of where the overall markets are headed.

Personally speaking, I got into AGCO at 40.25 looking for a break of 40.70. It failed at this level and not wanting to be caught in a double top, I have moved my stop closer. Also added to my exisitng SOLF position at 12.30. I got out of DZZ at break even.

I will be back later with Chart of the Day.

Take care and good luck.

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