FIRST COMES THE BOTTOM...

NOW FOR THE FOLLOW-THROUGH!

Which would be quite nice! I would like to see another up day today to confirm that yesterday was a bottom and that the next move might be back to 310 or so which keeps us in a trading range.


I won't speculate beyond that. Citigroup has put out an extensive research report discussing MLPS and what is happening. They have their theory and thanks to Carlos you can read some of it. The full report is on the Yahoo Research Board for MLPS dated 10/3. Registration is required but there quite a bit of good info there. Citigroup is making comparisons to 2005 where MLPS declined from july through december and than rallied in January 2006 and they are forecast a repeat. They argue supply overhang of shares and new ipos will keep prices down until then. My take on it is that brokerages are usually late to the game when it comes to recognizing what is going on. By the time they figure it out it is usually 2/3rds done. This correction btw is far sharper than the one in 2005 and perhaps the bulk of it was done in those 10 days in August. We retested the 290 closing bottom so i think we could be in a base building period now between 290 and 310. Short term if we get a market friendly number this morning on the unemployment stats...mlps should have another good day.

Stock futures are higher this morning. No corporate developements and no upgrades or downgrades so far. So fingers are crossed that we can go 2 for 2.