8-23-2009

It is the time again to assess the market, at least to help to re-acquaint myself with what is going on after one week's vacation

What a difference a single week can make ?

At the beginning of last week, almost everyone thought the correction is coming, by the end of the week, all those doomsday's talk are squashed.  does this mean we are clear to take off?


Just by looking at DOW, SPY, and NASDAQ,   we are seeing another breakout, especially at the expanse of bears and short-term profit takers.  in the normal case, this will lead more gains.

If the consolidation phase a little bit longer (last time, it was almost two month comparing with 4 weeks this time), I will be even more certain.  so, I will look what the market will do next week.

Dollar is again at lower point for last several months,  will it rebound?  FXE is at higher end, will it break higher?

DBC is at crossing point, if dollar continue weak, then we could see some bullish move for it.

FXI is weak, will it be pulled up by the overall market, or it will become a drag for the whole market.? 
SHLD, will it become a good short candidate?  I am watching its 50 day MA

To summarize,  We will decide whether the market is break into a new high, or is it staying in a new range bound trading...