Thursday was devastating

What can you saw about Thursday, March 10, 2011 other Ouch!

I knew going into today it was going to be ugly because the futures were down and all the overseas markets were down. I didn’t think that we were going to take a thumping an erase half of this years profit. If we are down tomorrow morning I see no other option other than to bail to the G or F, which I will talk about later. First level support was broken at $1302 which was a very new support point. Now we are testing $1294 which was established about 12 days ago when the first selloff took place. It did stop and bounce ever so slightly higher off of this and we can only hope that it holds. The RSI and MACD are giving very negative signals. I think $1294 is very important because this is a proven point that buyers came rushing back into the market and pushed it back up. If it holds again, we will have a major support point built and proven. We can trade down through it, but we have to close above it.

The Small Cap, Dow, and NASDAQ all took a beating and are agreement with the S&P 500, so no real need to go through those charts. The International Fund is in trouble and if you have money here, I think it’s time has come to bail. We 5 straight red down days in a row and today we took out the major support point of $59.80. I see no reason to stay in this fund and I will have to lick my wounds an step out unless by some miracle tomorrow it recovers all that beating today. Below is your International fund.

Now what to do with are monies. We can always bail to G no matter how many moves we have left to make in a month. So if there is an opportunity to make more money in one fund over another you have to take it. The f-fund or bonds is turning once again and breaking out. It has 2 green up days in row. RSI and MACD both climbing a looking good. It also appears that we are going to break the down trend line once again an just maybe make a higher high. If it closes tomorrow above $105.65, it will have to make a higher high as a pivot eventually.  You will find the chart for the F-fund below.

So in conclusion, if price on the market is negative tomorrow by 11:30 am, then I’m likely to move all F-fund. If the market is up, then I will likely stay an watch for another day. There is no way tomorrow that we not print a red flag because today’s pullback was to deep. So let’s hope that futures market that I’m looking at right holds, which up, and buyers come rushing tomorrow to searching for bargains.