Thursday, November 13, 2008

The Kirk Report

The Kirk Report

The Big Bad Bear Trap

Posted: 13 Nov 2008 04:25 PM CST

You have to love it when the market plays according to script. After busting through recent supports & lows, the bear trap was sprung and we rallied back hard for big gains across the board on heavy volume. In fact, it was truly fitting that we closed at the "911" level on the S&P.

S&P 500: Intraday

You may hate this market and everything about the economy, but you can find some nice trades out there if you're patient. Today's move is proof of that. Of course, another day like today and we'll be back to overbought territory again, but it sure is fun playing and profiting from these wild swings as greed turns to fear and back again.

After today, I've earned a day off and I am going to take one tomorrow. A good friend (you know who you are) sent me a golf certificate for a round at Coral Canyon and I'm taking full advantage of it tomorrow.

I'll be back on Monday to tackle another option expiration week. Until then, trade well my friends.

Where's My Bailout?

Posted: 13 Nov 2008 11:41 AM CST

Need I Say More?

Posted: 13 Nov 2008 10:38 AM CST

Government

Jobless Claims, Foreclosures, & More

Posted: 13 Nov 2008 08:30 AM CST

Good morning. Along with volatile trading action overseas, premarket futures here have been the same although currently in negative territory following more bad news on the economy.

In the latest read, jobless claims rose much higher than expected, foreclosures are up +25%, and a number of companies either announced earnings below expectations and/or reduce their guidance. Combine that with recent changes to TARP and investors are having a tough time figuring out what to do next.

Premarket gainers: AMAG, FTBK, XL, CBG, SOL, NTAP, PRGN, BYD, CDE, LVS, MT, FOE, CNB, URBN, HL, RDN, CSUN, NT, TKC, UA, LIZ, GM, & TRIN.

Premarket losers: CROX, FEED, GA, JNS, MPEL, TMA, LCRD, APWR, COIN, WCG, LNC, YGE, DPS, STP, NVDA, OFG, INTC, DELL, STM, EBS, BHP, UBS, BP, APEI, & NSM.

Today's economic calendar remain light with only the weekly energy inventory report at 10:35AM and it is not expect to be a market mover. Instead, the headlines and technicals will drive the action.

As I said last night, I'm looking for a bear trap setup on a breakdown from these support levels as we push back into oversold conditions. Obviously, I'll need to see a strong reversal from the intraday lows and volume to increase in that turnaround if that should pan out today or tomorrow. Go make it a profitable day!

0 comments: