PPT to the Rescue - AGAIN!

Take a look at the Dow's intraday chart there to the left, and compare it to yesterday's, which I posted here. Does anyone besides me notice that they are practically identical? For most of the day, stocks once again meandered around, unable to decide if they wanted to rise or fall, bounced off the flat line a few times, and then at 2:30 - right on cue - began their moonshot. The only difference between yesterday and today was that the Dow finished up 100 instead of 150, and sold off a little in the final minutes instead of closing at the high. But that little selloff left a bullish triangle consolidation behind - a perfect setup for tomorrow morning's (Friday's) job numbers.

Whatever the job numbers come in at is irrelevant. These are backward looking statistics and they are heavily massaged. The important thing is how the market responds. The final hour rallies over the last two days tacked 2% back onto the Dow. If we get a positive reading on the numbers, we could easily see another 2% rally on Friday alone. That'll get the bulls excited and stewing in their juices all weekend and by Monday, this little correction that we just had might be little more than an exciting memory.

On the other hand, America is in a foul economic mood. I expect we'll see a rally, but if the jobs numbers are interpreted bearishly, look out below! Either way, Friday is going to be an exciting day. If we do have a rally, it doesn't mean that the bull is back! Whether we carry on to new highs remains to be seen...

One day at a time, folks.

Stay tuned and have a great weekend!

Michael Nystrom
Editor
www.bullnotbull.com