If you squint the $SPY chart looks like a Scotty.
There where a lot of chasers and a few got nailed after 14h30. Just about that time Ireland gets a downgrade from Moody’s. (Los Angeles also was downgraded but I wasn’t sure how to trade that one!)
(A strange distraction and maybe Italy is on the repair. Ruby the Heart Stealer is pregnant.)
The Euro and european markets opened for a tough day and struggled into the close. The Euro was weak but little-by-little it worked off the bad “Spanish Contagion” press just until Moody’s lets rip the Irish downgrade to junk. It broke under 1.40 and it’s holding there for the moment. The Los Angeles downgrade isn’t so surprising, but what is, is this article where McConnell Proposes Giving Obama Authority to Raise Debt Limit Alone! This is not reassuring.
Netflix held on to close at 290.49 even with an announced price hike. I’m thinking we might be seeing a top side on this stock.
I watch Cisco closely as well, and it’s kept me interested on the short side, but this round of layoffs has me wondering. 14% of the workforce for a technology company that has been technically ahead of the curve, and with lots of cash… I’m sure their R&D will suffer and that some of their best will be heading off to $HP and $JNPR. We might start to see some movement in this stock upwards, but I’m quessing the quality of their products will be declining.