I do not know what today will lead to, the futures and the market are down huge pre market hours and I do not know what to make of it. There are a few theories but none of them could be true, here are some of the things I am thinking about -
1. The fiscal cliff is all baked in now and this is a buy opportunity
2. The fiscal cliff is huge deal in someone's eyes are we gap down and sell off more
3. We gap down and then stall and from just a doji
Any three of these theories could turn out to be true but I do not know which one. I will let the chart tell me. I will say though, a lot of longs were hurt overnight (me included). We were in an uptrend so the likely hood of this dip being bought is slightly higher. I will focus on the banks and the hombuilders today. Good luck to all.
Ben
1. The fiscal cliff is all baked in now and this is a buy opportunity
2. The fiscal cliff is huge deal in someone's eyes are we gap down and sell off more
3. We gap down and then stall and from just a doji
Any three of these theories could turn out to be true but I do not know which one. I will let the chart tell me. I will say though, a lot of longs were hurt overnight (me included). We were in an uptrend so the likely hood of this dip being bought is slightly higher. I will focus on the banks and the hombuilders today. Good luck to all.
Ben
