FRIDAY AM MARKET TALK

The stock market is close to a TOTAL BREAKDOWN IMHO, the neckline I observed on the Dow was near 8200, even after 2 weeks of battering, the market could not even rise above that break, only points away.

Early AM talk is of "we don't know why futures are down this AM" this is why we use technical analysis, TALK IS CHEAP.....and not usually fruitful. Those buying the market and talking it up don't have a clue in the world.....that the ODDS are not with them in the least.

Here is some news: (broke yesterday) please note Alcoa's performance, but they BEAT estimates!

Alcoa (AA 9.72, +0.26) reported a fourth quarter loss that was above consensus, while revenue fell sharply.

The company reported a fourth loss of $0.26 per share, $0.12 better than the First Call consensus of a loss of $0.38. Revenue fell 41.4% year-over-year to $4.24 billion vs. the $3.93 billion consensus.

Alcoa said the economic downturn has affected most of its end markets - automotive, commercial transportation, building and construction, and aerospace.

from this am on yhoo finance:


The stock market headed toward a lower start Friday as investor anxiety about the economy increases. (it never went away!)

Markets around the world pulled back as traders decided to sell amid the uncertainty about upcoming earnings reports and what they'll say about the economy. News that Chevron Corp.'s refining margins fell in the second quarter added to the uncertainty early Friday; oil companies have been among the country's top performers.

My friends if Banks report stellar earnings would that make sense to you? As home prices KEEP declining how could their portfolios rise in value? Because the CHEATERS dropped MARK TO MARKET that's why.

Wise man once said " a market in decline that cannot rally from oversold conditions is a weak market" TGIF ! WHAT trader wants to hold into the weekend with uncertainty with company earnings which begin in earnest Monday? SO big question for me, is will any DECLINE come from a lack of buyers, or PICK UP in SELLING PRESSURE.....or both?

D