Market Tao Thurs 10-01-09

SPX 500

Well I expected a bit of a sell off today but I didn't expect the Bulls to run out the door screaming like a bunch of little girls!

The News wasn't all that bad.

This looks like a Down C wave and stopped right on the 138 fib extention SPX 1030.

I was expecting a bounce off the 1041 and retest the wedge trend line but it cut through the 1040 like the bulls weren't even looking behind themselves as they where all bunched up to get out the door trying to get away from all the blind two fisted buying they did all summer.

I got stopped out today as well because I was playing the bounce plan at 1042

The market is off 4 % from it's high of 1080 and that is about where the bulls jumped in last time . We will see after the jobs report in the morning if they stay in the tall grass or jump out and mug the bears.

I'm not sure if there are enough bears or bearish sentement to push this market down to far... unless they are the same bulls that pushed this market up to here.

Actually this sell off was reasonably orderly in 5 measured waves .

The bulls need to push this back above 1040 or this could get down to 1026 -17 area.. that would be 5% off the top.