Good Morning all
I will not be in the room all day today so watch your butts<g> Why should you watch your butts? Ben Bernanke our fearless FED leader is going to talk about the "I" word Inflation AT 1.00 PM TODAY. This is a perfect time for the market to pull back for a few days digesting what he said or didn't say. The market needs a short breather here and it's going to get it. Do not chase today look to short the rallies I think you'll do a lot better then going long. The street is always looking for an excuse to take profits and what could be better then the chairman talking about what everyone is worried about all the time. Well I'll stick my neck out and say he;s not going to be dovish on the surface but he is worried about the continued weakness in the housing market for sure since we have not seen the worst of it yet. In fact folks it's now having some slowing effect here in Philly. If you recall I mentioned it was not too bad here, well it's getting worse. Inventories are abundant and growing and demand has slacked off in recent weeks. I was thinking if the summer buy season is weak what the heck is it going to look like this winter? That scenario will be reflected in the numbers going forward that up to this point Fed Funds Futures are signaling no change right thru early 2008. If the economic numbers begin to weaken the FED will jump in here and cut, but that's a long shot right now. What they will do as they did in their last meeting is signal the markets they are leaning toward cutting rather then hiking. Look it does not matter for daytraders so you can ignore the long term implications for today and tomorrow obviously, but this guy carries large clout around the world and we're diabolically overbought. He's going to "take questions" too, meaning he wants to tell us thru transparency what the FED is thinking about on inflation and what they could do about it too. In short our trading group has to be alert to wild swings in stocks and futures all day long based on his statements. Everyone help out!
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TASR---17.50 THE BTL---16.90 THE SST---WOW IS ALL I CAN SAY TRADING SMALL CAPS IS FUN AND PROFITABLE FORGET BIG
CROX---48.50 THE BTL---47.90 THE SST---A BIT OVERBOUGHT HERE BUT WHAT A STOCK FOLKS THE STREET LOVES THIS NAME
HOKU---13.05 THE BTL---12.60 THE SST--- THE WHOLE SOLAR SECTOR WENT NUTS YESTERDAY ON THE FSLR NEWS
JASO---42.95 THE BTL--42.30 THE SST---ANOTHER WILD POP ON THIS STOCK TOO BUT ALL OF THESE COULD GET HIT TODAY
JEC---61.45 THE BTL---60.85 THE SST---WAS MENTIONED IN THE IBD NEW AMERICA ARTICLE BUY THE DIP OR TRADE OPTIONS
SOLF---12.80 THE BTL---12.25 THE SST---YEST ANOTHER SMALL CAP SOLAR PLAY WITH A LOT OF UPSIDE POTENTIAL
SMH---39.65 THE BTL---39.15 THE SST---THE SEMIS HAVE BEEN ON FIRE I THINK THEY'LL PULL BACK TODAY SHORT THEM
INTC---25.25 THE BTL---24.80 THE SST---HIT THE WHOLE ROUND NUMBER AT 25.00 I THINK IT FALLS TODAY FOR PROFITTAKING
JSDA---17.50 THE BTL---16.95 THE SST--HAD ANICE RUN OVER THE LAST WEEK DUE FOR SOME DOWNSIDE TODAY SHORT IT
SINA---45.70 THE BTL---45.15 THE SST---SENSATIONAL RALLY FOR WEEKS ON END, TODAY MAYBE IT GETS WHACKED
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I WOULD BE ULTRA CAUTIOUS TODAY, TAKING SHORT SCALPS USING THE VOLATILITY AHEAD OF, AND DURING THE SPEECH, PLEASE POST THE STATEMENTS FORM BRIEFING OR OTHER NEWS FEEDS INTO THE ROOM, AND CALL THE TRADES LIVE ON THE MIC. DO NOT HOLD LOSERS OR WINNERS TOO LONG, WE SAT WAY TOO LONG IN TRADES YESTERDAY. THE AFTERNOON WAS VERY SOLID AS WE WENT 3 FOR 3 AND DID WELL. LOOK FOR THE MARKETS TO BE LOWER AHEAD OF THE FED'S SPEECH.
HANG TOUGH I'LL SEE YOU ALL TOMORROW
JERRY & INNA
Jerry Olson
The Jog Group LLC
jerryo34@verizon.net
