Friday, June 5, 2009
Unemployment Rally
The numbers on unemployment are bad but they were better than expectations. Thats how they start, by making bad numbers look good. I have 956.50 as an area to hold this morning. If they get above that I have 962.00. I am looking to sell short in front of those prices. To the downside, I have my moving averages all pointing up to get out of shorts and scalp to the long side. I am not convinced that I should be buying breaks establishing positions. I am looking to establish most of my positions to the short side unless we violate my upside resistance. I am looking for the market to trade down to 936.00. If 962.00 gets violated I believe that you should see a blow off rally to the upside with high volume. This day will be high volatility so keep your stops a little wider.
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