Daily Investment Interpretations

March 22, 2011

2011-3-22 (Tuesday Night): Last night, I wrote that, " Typically, the next move from here could be a dip or consolidation after the run-up of the past few days: Quick Comments: Better Safe Than Sorry. If so, it might be a good buying opportunity: Ready For The Rebound?. As it turned out, that's what happened. The NASDAQ Composite slipped 8.22 points (-0.31%) to 2,683.87. The Dow dipped 17.90 points (-0.15%) to 12,018.63, while the S&P 500 ponied up 4.61 points (-0.36%) to close at: 1,293.77. Oil hit a new high of $105.23 a barrel, while Gold adjusted to $1,429. The VIX fell to 20.21
    The logical next move might be a retest of last week's low. The fact that oil ran above $104 a barrel (and is now sitting above $105 a barrel) initiated a downward bias in today's markets. This bias is built into tomorrow's opening, with market futures down, and falling tonight. I know. You're saying, "That's ridiculous! The economy's moving up, and the markets are obviously going to follow the economy." But markets find a "wall of worry": Stocks face 'tremendous' risks, and toot out potential perils to worry about. Mark Hulbert's article tonight says, There’s a huge wall of worry out there. If the markets retest their lows, I'll wait until they start back up, and then I'll buy.