Trading Plan for October 15, 2010
Current Long Positions (stop-losses in parentheses): TICC (9.62), BRKR (14.54), ITW (47.40), QQQQ (49.25), TIE (19.73), BEAV (31.75), PAG (13.62), DTV (41.09), ACI (25.54)
Current Short Positions (stop-losses in parentheses): None
BIAS: 82% Long
Economic Reports Due Out (Times are EST): Bernanke (8:15am), Consumer Price Index (8:30am), Retail Sales (8:30am), Empire State Manufacturing Survey (8:30am), Consumer Sentiment (9:55am), Business Inventories (10am), Treasury Budget (2pm)
My Observations and What to Expect:
Futures are mixed, with Nasdaq showing the most strength.
Google earnings is providing a huge boost to the Nasdaq - stock is up over 8% in after hours trading.
Volume over the past couple of days has been impressive.
S&P bounced nicely off of the current August-lows trend line.
Bernanke speaking prior to the market open - could give a boost. I don't believe he'll try to sabotage the markets - he usually tries to avoid that at all costs. Instead the emphasis will be QE2.
Nice pullback yesterday to the 10-day moving average, which has consistently represented support for the markets of late.
Lots of reports due out this morning - CPI and Consumer Sentiment will be in focus.
Bears should aim to break through 1162 and then the 1156 level on the S&P.
Dip buying crept back in the last hour of trading yesterday.
Here Are The Actions I Will Be Taking: