U.S markets react to S&P's Italy downgrade, with the S&P 500 futures retracing most of...


U.S markets react to S&P's Italy downgrade, with the S&P 500 futures retracing most of today's late-session gains, now trading -1% at 1186.50 in after-hours trading.
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Comments (10)
  • buybuybear
    , contributor
    Comments (389) | Send Message
     
    Recent experience has taught me that the futures don't really carry over in the day session.. in fact we might rally on 'hopes' that Greece is now resolved
    19 Sep 2011, 07:19 PM Reply Like
  • Stone Fox Capital
    , contributor
    Comments (8640) | Send Message
     
    True. Futures trade based on fears where as the real session trades based on reality. The reality is that that everybody already knows Italy is worse off than the previous SP rating.
    19 Sep 2011, 09:07 PM Reply Like
  • alpharox
    , contributor
    Comments (380) | Send Message
     
    Yep, based on recent trading, I'd guess S&P 500 over 1220 by the close tomorrow.
    19 Sep 2011, 07:32 PM Reply Like
  • sean.parmelee
    , contributor
    Comments (791) | Send Message
     
    Buybuybear, that's an astute observation, and you may be right. But with that said, alpharox, I doubt we will be able to convincingly cross 1220 without a significant piece of news--real news--as catalyst. The market has tried and failed to breach this level repeatedly, and I see no reason why it should be able to now. Too many traders are viewing the 1220-1230 area as a hard resistance.
    19 Sep 2011, 07:45 PM Reply Like
  • alpharox
    , contributor
    Comments (380) | Send Message
     
    Actually, the real driver tomorrow will be the Fed and any news that comes from them. By closing time, I guess that's all anyone will be talking about.
    19 Sep 2011, 08:29 PM Reply Like
  • sean.parmelee
    , contributor
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    It's a two day meeting. I wonder when the "news" will come.
    19 Sep 2011, 08:58 PM Reply Like
  • Native Texan
    , contributor
    Comments (276) | Send Message
     
    There will be no news tomorrow. The market will get sold in order to apply pressure on the Fed to inject the markets with more Hopium.
    19 Sep 2011, 09:21 PM Reply Like
  • sean.parmelee
    , contributor
    Comments (791) | Send Message
     
    Despite what many might have you believe, Bernanke is not beholden to the whims of the stock market, and furthermore, this is not by a long shot a situation of the magnitude of 2008, when the markets sent a clear signal to Congress. Worst case scenario, the markets will be back in the mid-to-low 1100's this week.
    19 Sep 2011, 10:35 PM Reply Like
  • buybuybear
    , contributor
    Comments (389) | Send Message
     
    I think what alpharox and I are expressing is some disbelieve about the strength of this market, based on all that bad news coming out. Was that really all priced in or are we swooning for QE3 in a shape other than OT2 (because OT2 is so not going to satisfy). Who buys this market? Shorts were bowled out last week so I expected to see at least a freefall to 1150.

     

    Anyways, keeps it interesting. Happy trading!
    19 Sep 2011, 08:21 PM Reply Like
  • joehope
    , contributor
    Comments (33) | Send Message
     
    1250-1265 next big S&P battle zone
    19 Sep 2011, 08:53 PM Reply Like
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