Comments and outlook for 03-11

Quite a day.  As I posted last night I expected the longer of the short cycles to push down.  Maybe a little more push than I expected (broke lower range I had mentioned of 1295 by a smidgen).  The 2 longer of the short cycles continue down tomorrow and should bottom sometime Monday....  I expect though a lot of the downward momentum has been expended and we have the 5.75 day and 2.8 day cycles up tomorrow.

So, I expect tomorrow could be down, but less so than today - much more of a sideways move.  Of course as always overnight news or intraday news (day of rage in Saudi Arabia tomorrow?) could make the bias tilt down more or less than anticipated.  Supposedly no FED POMO activity tomorrow (but I wouldn't bet the farm on that either as I believe the FED will do whatever they need to do to keep this sell down controlled).   We will see tomorrow.

Here is the cycle view:

GL traders.  do your own analysis.  Use stops and limits to achieve your trading objectives.
PS: Pay attention to cash accumulation comments on the chart.....

Update 05:15 AM EST - 8.9 earthquake in Japan.  Not sure of the impact on US markets, but it should add to the downside bias here.  Not much the FED can do about acts of God.  Nature 1 - FED 0.