Rebound?

Damn Gina!

No, not Martin Lawrence's possibly funny family comedy(I haven't seen it), the stock market. Will we rebound here or continue down?

Alright, we technically shouldn't care, just react to market conditions but there are quite a few things to consider. We finished below 13,000 on the Dow, which is a fairly significant psychological number, which then argues that it is a technical level also. However this was on lower than average volume(due to the holiday shortened week) and historically this is a bullish week for the stock market going into the biggest shopping day of the year. The S&P has found support in the 1430 range and I referenced it earlier, so it would be a good sign for a decent bounce here, one of the reasons I feel like we will get a bounce tomorrow is HPQ's earnings came out and beat expectations and gave a good forecast and announced a stock buy back, so if nothing else tech may be the place to be if you are bullish. I will likely watch GOOG or AAPL tomorrow for a day trade opportunity.

Today, I took a trade on the SPY, bought some calls, but it broke trend shortly there after and I exited at a about a 200 dollar loss, not the biggest deal, less than 1% of my account, however losses still suck. Had I held till the end of the day I would have pretty much been where I was when I originally exited, but it was higher for a bit of the day.

I kind of want to go back and look but it seems like on down days we rally in the 1-2pm area, and on up days we could sell off at that time too, and then the trend usually continues afterwards if its a strong trend after 2pm. so people will start to lock in profits depending on if they are short or long, by covering or selling off in that time period.

I still struggle on taking anticipatory trades because those can be much more profitable because you will gain the gap up or gap down in a stock for the next day, but that is more risky, so at this point i'd rather go for a smaller move that is more likely since I am below even. If I were up decently, it would make more sense to take a bit more risk with pure profit, but at this point that is not the case.

The futures are up right now, but we'll see how they shape up tomorrow I am thinking we go higher on the day with the largest gainer being the Nasdaq. If the futures are up decently in the morning I may buy at the open.