Mid Day Trading Update – The Charlie Brown
For you young'ns out there who have yet to see a Charlie Brown cartoon let me give you a brief sketch. You see, Charlie Brown liked football and would practice his kicking with this overly sarcastic, ugly blue dress wearing broad named Lucy. Now, Lucy would always be the placekicker in the cartoons. Charlie got a running start and as soon as he was about to kick the ball, this bitch would pull the football away, leaving Charlie Brown to be launched in the air and slammed back down on the hard ground.
The early morning move in the broad indexes was shockingly similar to Charlie Brown's daily plight. SPY $156 and the euphoria from a Cyprus deal pushed us to a technical breakout point. To amplify that long perception, many stocks rallied considerably off the open including Google (NASDAQ: GOOG), Apple (NASDAQ: AAPL), Las Vegas Sands (NASDAQ: LVS) and Visa (NASDAQ: V). Things looked so bullish, many traders piled into the long side going for swings into the end of the week. I, myself, got caught thinking the same thing. Around 10:30, a sell program hit the indexes and hasn't looked back since. The DOW is currently down about 70 points but the weakness that is felt now across all sectors is disheartening for many bulls. Even as we speak the market is pressing to fresh lows.
The Financials have definitely been the weakest sector while the Credit Card names like Visa and Mastercard (NASDAQ: MA) are managing to hold their gains on a red day. Techs are dropping and there is definitely a lack of buyers across the board.
Again folks, bias will kill you in this environment and will force you to question your abilities as a trader. Stay nimble and be ready to move at a moment's notice!
Stay tuned for further updates!
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