Thursday, May 5, 2011

We are very close to a bounce

My timing signals are all firing off tonight, suggesting that we are very close to a bounce, and it could come as early as Friday.

The Job numbers are due out at 8:30 AM Eastern, and then Bernanke is set to speak at 9:23 AM. These may lead to a gap and a shuffle in volatility. A gap down that holds short term support (watch the video later for levels) would be an opportunity for a buying op that can start as a trade and then see where it goes from there.

I don't know if we are at the end of the pullback or not, and if we gap down hard and keep going I guess I'll know pretty quickly, but the rubber band is stretched, and barring bigger news I think we get a bounce very soon. Where that bounce leads remains to be seen.

Michael tiny Saul

tinymjs at gmail dot com

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