DO OR DIE TIME

Ok boys and girls stand by for a huge technical test. The Dow Industrials and the MLP index went down to the 200 day moving average which held yesterday and the market bounced from the lows. Now this morning we have what is looking like a big down open by over 100 points. I like sharp down opens as this has the opportunity to wash the sellers out if it comes on big volume. However we are at a serious trend line test. Up until now corrections in this uptrend have come in 3 wave moves. Take a look at the dow chart from back in Feburary. If we dont hold here im afraid to say that the uptrend that began in MLPS back in December of 2008 and in the rest of the market in March of 2009 could be O V R!!! If the bottom and the trendline hold in here we could be on the verge of a vicious rally from being deeply oversold. If that happens we will then look at what i call "THE CURSE OF THE THREE DAY RALLY" which is doomed to failure. So all kinds of possibilities lie at our doorstep this morning as we watch Europe burn up.

Stock futures as we said sharply lower along with gold, energy, and foreign currencies against the dollar. MLPS have no corporate developements but there is some premarket action in a few mlps like EV Partners (EVEP) and Linn Energy (LINE) which are down in scattered trades. Guess a few people saw some bids and took them. Nothing on the upgrade/downgrade list this morning that could be supportive to any individual name.

I think this is a morning for me to head out for a long walk and let the markets burn without me for awhile. BTW thanks to the man who hit the tip jar yesterday. A nice cigar is waiting for me and i appreciate it.