Good morning folks. Futures are indicating a flat open as traders are still digesting Black Friday reports along with the 85 billion dollar Irish bailout. Crude OIL $uso is looking strong up 1%. Nat Gas also in the green at .4%.
Whole host economic reports so expect some choppiness and back and forth in a tight range till the range is resolved. There is a lot of news to digest and keep an eye out for. In the end the news means nothing and is pointless follow just the price action of the market and your stocks and your brain will be clear of clutter. the more news you add the more likely a “paralysis by analysis” happens. Especially for new traders who lack the cognitive function to digest 30-40 variables as trading is a very “repetition based” “muscle memory” type activity. Much like driving. After 10 years when you drive to work you don't even often know how you got there or any particular of the ride. The key when playing news or econ reports is not the analysis of them as we are not going to be able to read the data like an economist…we are just lousy daytraders! The key is the reaction to the news. How is the market acting towards the data that is put out. that's what we trade.
This Week’s Calendar
Click on a “Release” for Insight
Keep an eye on these levels SPX 1175-1177 (50dma area) and SPX 1200. This is the box we are in and the battle ground we need to resolve. Trade quick and tight. Do not be overloaded to any one particular direction.
