8/29/2008 Market Recap

Today was another light volume day; however, not light for UNG. I think the light volume is not necessarily due to the holiday week but is more indicative of the overall environment of the market lately. Volatile as a result of light volume.

The Russell 2000 continues to be the dominating long position, and an entry on a pullback to support makes sense.

Financials are still the weak group despite the strong moves today. They could be now in a trading range between $19.75 and $22.50.

SPY looks to be in a move to potentially test its broken rising wedge pattern that it fell out of after breaking the trendline. This would be a bearish move. If it happens, I expect it in the neighborhood of 1320

QQQQ was a leader but today it did not participate in a strong rally price-wise across the board. The pause was at resistance, and so it remains to be seen if it can continue to be strong. Lagging on a day like today is not a particularly good short-term sign.

The VIX is still waffling but put in what may be a southern doji today. That remains to be seen on confirmation.

I know my first post here is brief (due to time constraints), but I will try to be more elaborative and graphical in the future.

These are two potential pattern setups but have not completed yet. They need to complete and give a confirmation entry before they can be participated in (guessing a pattern ahead of time is not generally a good idea in my opinion).

SPY:




XLF:



Intraday pivot levels for tomorrow:

	IWM	QQQQ	SPY	XLF
R2:	75.68	47.52	131.43	21.93
R1:	75.10	47.32	130.81	21.66
PP:	74.06	47.07	129.72	21.18
S1:	73.48	46.87	129.10	20.91
S2:	72.44	46.62	128.01	20.43