Premarket Up With Some Help

Futures action suggest an open of 11 points for the S&P 500. It’s amazing what a little potential government stimulus from a large economy like China can do. Even a European index is up.

Like it’s U.S. counterpart, bad news in China (the threat of GDP growth going under 7%) is good news for stocks since stimulus can’t be too far behind. That’s certainly a winning working formula for both the U.S. and China so far.

There is no corporate news of significance unless you consider the mergers going on in the pharmaceutical industry this morning.

On Greece, market participants expect a last minute deal, or some reasonable delaying action. Greece could still turn out to be the only well known black swan that the markets ignored.

The dollar is up and pushing oil down as usual.

February personal income rose 0.4% and personal spending was up 0.1%. Whoo hoo, but not huge enough.

The last two days of market action includes quarterly window dressing. As such I won’t bet against upside but upside will probably be limited to 2075 for the SPX. A halt at that level, and more important a halt and reversal, will show a developing Head and Shoulder pattern.

This writing is for informational purposes only and does not constitute an offer to sell, a solicitation to buy, or a recommendation regarding any securities transaction, or as an offer to provide advisory or other services by wallstwise.com or John Robichaud (author) in any jurisdiction in which such offer, solicitation, purchase or sale would be unlawful under the securities laws of such jurisdiction. The information contained in this writing should not be construed as financial or investment advice on any subject matter. Wallstwise.com (WSW,LLC), John Robichaud expressly disclaims all liability in respect to actions taken based on any or all of the information on this writing.

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About wallstreetpirate

Thirty-five years in financial services from insurance to registered investment adviser, and trader (now retired). Currently helping wanna-be traders and experienced alike as a trading coach and mentor. I've been in and around, on top of, in the middle of, and on the bottom of the stock market for a long, long time. Here's all I've learned: Trading is about behavior, psychology, and appreciating what the charts are saying technically. You can't fake it. Either you know what you're doing or you don't. And as much as this isn't rocket science, it takes knowledge and a skill set to survive.
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