short or long , page-37

voltaire, the spx last night was instructive. First, I assume that if a crucial support point is going to hold then you'll usually see a spike low. Thats because its where shorts cover and channel trading bulls buy. Last night the spx fell below that crucial 1240 several times, and each time it attempted to rise above it was overwhelmed by selling. Sure it managed to finish the session above, but really it was quite unconvincing. Earlier in the session I went long once it seemed to hold above that level for a while but that level failed repeatedly afterwards so I covered later and went short. Really, if there is good support at a low I expect a convincing, fast spike low as with xjo at its recent low and it didn't happen last night. Also, the spx fell about 1% in about ten minutes at one stage last night. Further, financials are getting hammered and miners are not responding to the high commodity prices. Spi is trying to set up for an xjo rally Monday but its a story that didn't sell with spi traders last night either. Things look pretty grim imo, fear is rampant.
cheers!