OVERALL MARKET STRENGTH THIS MORNING
MLPS SHOULD START HIGHER!

Based on these hideous looking charts there are a couple of positives beginning to emerge and that is that we are entitled to a trading rally. And we may be at the beginning of one today.

Notice that the MLP index which has fallen off the cliff, crashed and burned has been stablizing. 2 trips down to the August 6th crash low and it held. MLPS are ridiculously oversold and we are certainly entitled to a trip back to the 200 day moving average around 307. That would be my first target. After that it may mean a long period of base building. And remember we are totally at the mercy of the overall market and if more shoes drop out there we could head back down to the lows.

Longer term the weekly chart offers some hope as the moving average support levels have held so far. That chart still says we have some downside work today in the next several weeks. The key will be the holding of the lows and we need time to put in a constructive base. One thing is for sure. Yields are far more attractive here then they were at the top and insiders are buying heavily in some MLPS so that is a definite vote of confidence.



This morning we have strong stock futures, Oil is up; Nat gas is down another 3 cents as it tries to hold $5.75. No corporate news this morning and no upgrades or downgrades at least so far.