Wednesday put in a narrow range light volume day. Of course we pretty much expected that and seeing a lot of inside days or narrow range days through the rest of the week should not surprise anyone. The last day of the month was overshadowed by the Tuesday’s drop. Even Chairman Bernanke’s speech tried to discount the drop and leave some assurances that the economy is fine and on track.

Crude closed up 33 cents at $61.79 to make six consecutive up days. The lows on the day was $60.30, leaving a big range on the day. Gold another weak day to fall $14.70 on the day closing at $672.50. Even with the past few days of dropping gold still finished the month green with a gain of $14.12. Which isn’t bad given the 14.70 drop today.

Wednesday’s bullish day resulted in the start of the digestion of Tuesday’s action. The market was on edge and still moving with a great deal of volatility. The VIX fell throughout the day but it still high (15.42) showing high levels of volatility. Falling shows the bullish rise though, it is an inverse relationship with price and the VIX’s direction.

Into Thursday we can expect continued volatility off the economic data and more settling of Tuesday’s action. I think unless the economic data is horrid, the market will keep some bullish bias in it. But all that could change if the data shows more fear across the board. Wednesday’s volume was still above average, but under Tuesdays. Which I doubt we outpace anytime soon.

Economic data for the Week of February 26-March 2, 2007 Thursday 08:30 Personal Income, 08:30 Personal Spending, 08:30 Initial Claims, 10:00 Construction Spending, 10:00 ISM Index, 12:00 Treasury Secretary Paulson speaks, 17:00 Auto Sales, 17:00 Truck Sales, Friday 07:00 Fed Bank President Poole speaks, 10:00 Mich Sentiment Rev., 11:00 Fed Chairman Bernanke speaks.

Some earnings for the week: Thursday pre market CKP, DISH, PDE, SPLS, THE, and after the close AIG, CMOS, DELL, GPS, ISLE, KSS, LF, NOVL, OVTI, PSUN, PAY. Friday nothing of interest.

Compx (Nasdaq composite) closed +8.29 at 2416.15. Support: 2395.35, 2379.70, 2362.74, 2333.30, 2316.82. Resistance: 2428.74, 2444.85, 2456.31, 2470.92, 2492.12. Daily chart below

Everyone have a great day. We’ve made it half way through the week with nice profits and volatility. Let’s see if Thursday keeps the market moving. It is also the first day of March, historically the first part of March is bullish. So lets see if history boosts us up for the rest of the week.

If you enjoyed this post, make sure to Subscribe to the feed (you can also subscribe with free email updates). Then, check out the Investors Forum (New members register here!)

Related Posts:

• Market commentary for Thursday, March 15, 2007
• Daily commentary for Thursday, March 8, 2007
• Market Commentary for Monday, March 26, 2007
• Market Commentary for Thursday, March 29, 2007
• Daily commentary for Wednesday, March 7, 2007

Recent Posts:

• Timeline of 17 Recessions and World Crises Since Great Depression
• 40 Great Inverse / Short ETFs For Bearish Investors
• OptionsXpress Online Stock Broker Speed Review
• Weekly Market Commentary - July 15, 2008
• NASDAQ 100 Market Index Stocks

Filed Under Stock Market Recaps |
Subscribe to the Blog | Recieve Blog Updates by Email!

----------------------------------------

Share Your Knowledge »