..handcuffed..

Today was nothing, but a disappointment as the market finished at a new closing low for 2010.  Maybe some would like to think it was just a Super Bowl hangover as volume was tepid following a big volume day on Friday.  But, in reality it just proved Friday’s reversal was just noise over expectation of calming waters in the Mediterranean with one of the Club Meds…“if this was just a hard ETF short cover, we won’t have a Monday follow through”.   If you use the shadow list as a guide, you’ll see,  excluding some banks - brokers on Friday,  most stocks followed hardly moved showing a SPY and other ETF ‘s can’t be trusted no matter how giant the volume in them.  Money needs to go into stocks, not just ETF’s for capitulation. Also, pessimism may need to worsen for capitulation to occur.   Today, the only group to move Friday (Banks- brokers) had the biggest hangover on the market. 

We got no follow- through and a big negative was we couldn’t push over or close above 1071 curtailing odds we bottomed out at the 200EMA.  The fade job in the last hour was disappointing, shorts are getting more confident pressing new positions on any decent upticks and buyers will remain tentative to chase and give needed momentum.   Simply,  >1071 close is needed for a positive tone to possibly emerge.  Of course, tomorrow, we could get fresh Greece bailout rumors and market once again may rally.  Handcuffed market.