HOLIDAY WEEK

As I power up, it appears that some of the selloff that occurred in the last few minutes of trade on Friday is being regained in the pre market.

The DJIA Futures are + 13, SP Futures+2 and NAZ +2.

The Pivot Point trade looks ripe today as the YM Pivot is a bit above the 12,450 level with support at 12,380 and resistance at 12,490. The high probability trade here is the touch of the YM DJIA pivot and a 20 point potential gain.

Also keep in mind that the markets are short term oversold here with the VIX/VXO short term overbought and about 8%/9% above their 10 day SMA's. The 2 day RSI on the major indexes is also way oversold with a reading of 6 on the SPX, 1 on the QQQQ and 6 on the DJIA.

The rule of thumb is that the major market indexes are buys when they trade above their 50 day SMA's and the 2 day RSI readings are below 10. Of course any market can and will go lower so scaling into these trades is generally the desired method.

And how bout those DBack's trying to trade for Randy Johnson. If I were Cashman, in a heartbeat, as Randy has lost most of his fastball and all his consistency.