This Stock Market Hours Report is brought to you by Jason Ng, Founder, Master ‘O’ Equity

The Dow plummetted 311.5 points in a single day today! The last time we had such a huge, deep impact was back at the Shanghai market plunge of 27 Feb when the Dow dropped over 400 points. This plunge was accompanied by a huge volume surge, which could probably signal a selling climax. What’s obvious now is that this plunge certainly took the Dow back down nearer to the weekly 30MA, which we have been watching this whole month, just as the Shanghai market plunge did. I do not see a full scale bear trend coming up and I maintain my view that the Dow would trade within the sideways channel that I mentioned yesterday.

How does it feel to be watching the storm out at sea from the safety of the harbor?
Truly the Star Trading System has kept all of us out so far for a good reason… to prevent us from perishing out at sea! Sometimes, like little children dying to play out in the rain, we think the Star Trading System is just screwed up and preventing us from having some fun (just like your parents did) but think again, didn’t that keep you safe and alive till now?

Thought For The Day : “Real Traders Love Weekends”

This Stock Market Hours Report is brought to you by Jason Ng, Founder, Master ‘O’ Equity

FUNDAMENTAL ANALYSIS
Friday is going to be a heavy weight day with the GDP and Consumer Sentiments release. The Dow gaining over 60 points in one day today seems to indicate a strong bullish sentiment on the releases on Friday morning. GDP measures the dollar value of all goods and services produced within the borders of the United States, regardless of who owns the assets or the nationality of the labor in producing that output and is the most comprehensive measure of the performance of the U.S. economy. Healthy GDP growth is between 2.0% and 2.5% (when the unemployment rate is between 5.5% and 6.0%). This translates into strong corporate earnings, which bodes well for the stock market.

TECHNICAL ANALYSIS
No surprise today as the Dow gains a little, within yesterday’s trading range as it continues to play within the channel that I defined yesterday. I don’t think we will see any serious breakouts anytime soon.

Thought For The Day : “Always respect the market”