MLPS CONTINUE WILD ACTION

The key to the overall market this morning will be after we settle through the open which will be lower. I actually like down opens better especially after a day like yesterday because we have a chance to flush out more sellers and then we can see what happens after thats done. Crosscurrents galore today with yen carry trades, options expiration, etc etc. And of course there is always the question of another hedge fund liquidation. So we fasten our seatbelts again and hope. At least this morning they are not liqidating commodities and no one is going to be short energy going into a weekend with Hurricane Dean heading westward and is forecast to strengthen to a category 4. So mlps will do whatever they will do as there was wild action yesterday so there will be more wild action today. Btw dow diamonds forecasting a 100 point down open on the dow and 11 ponts on the S&P. Not good but not tragic.

This morning UBS is upgrading Energy Transfer Equity which it had as a sell. You don't see sell recs that often but they move it to a hold. Might be the reason that the stock did a 5 point turn around yesterday. No corporate developements this morning.

BTW watch the financials since they led the recovery late yesterday and they will continue to lead us one way or the other. Also 12518 is the intraday low on the dow yesterday so we'll see if thats the line in the sand.