Market view: July 15, 2009

Yesterday's rally was a surprise, especially because of all the hype about Goldman Sachs profit of over $3 Billion this quarter. What did you expect? They got free government money and lent it out to make a profit. The real news is that they plan to use 49% of it to give out to employees. They calculate that to be about $900,000 per employee. Where are you working now and why aren't you at Goldman Sachs?

I looked at the Charts again and we have formed a perfect "W" pattern on all 3 indexes, with the 2nd leg of the "W" lower than the first leg. The question many are asking is this. Are we back into a rally and are going up from here? Well, my guess is still the same, lower, but in this manipulated market it is anyone's guess. It may not go lower today or even tomorrow but we still have not broken the downtrend line of 2 years on the Dow nor the S&P 500.