Today's Market
posted on
Jan 24, 2012 09:05AM
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On OTC - DROP seems to have settled out in the 0.40 area. Right along the 8DayMA, a Day Trader's technical level. Seem to be forming a higher low with the 150DayMA, 0.364, recently holding. If things go south, next support would be 200DayMa, 0.285. If things are good, next resistance will be the 14Day MA, 0.426. BB's are starting to constrict, indicating possible volatility squeeze upcoming. Would be nice to see sp float along the upper half of the BB road, as this would indicate upside to come (and would be a fairly safe time to add), but need to get through some resistance levels. Next resistances are: BB-mid, 0.476; 50dayMA, 0.51; 34DayMA, 0.554. Toughest will likely be the 50dayMA unless another P&D comes along. Good news yesterday from Company on shoring up supply problem and changing to larger offices, still based in Florida. Next Tiger Tourneys are at Abu Dhabi HSBC Tournament, Jan 26-29, and then Feb 9-12 at At&T Pebble Beach ProAm Tournament in Monterey.
S&P and Dow - This Market is in Bull mode with lots of choices out there. Market seems to have forgetten about the usual sell-off in the latter part of January. Anyway, today will see some downside because the Greek deal has fallen through for the time being. This could get really ugly, so maintain loose stops, and tighten them up if this news does not go away soon. Lots of beats on earnings, so may see some buying later in the trading day. Stick with plays that are not so connected with Euroland, and you should do well. Unfortunately, most plays will feel the pain when there is a sell-off. Choose wisely and stay diversified.
Commodities - Oil seeing some selling today, but long term is still a strong play. Pick a decent oiler and should be good. NatGas is having a tough go, and many oilers have a stake in NatGas. Weather has been mild so NatGas feeling the pain, but weather will change. Grains still being bought up by China, and recent Ag reports are misleading in an attempt to control pricing. Fact is, the weather was not good for grains and there is a shortage. The old issue ofsupply and demand, but choose wisely. Big Vancouver Resources Conference ended yesterday, so may see some Gold, Silver, and other resource plays get some luv. Gold and Silver selling overnight on the Euroland Greece problems. Seems Cash, regardless of it being paper, is still king.