Tuesday, January 1, 2008

We Need a Weatherman

Now that 2007 is history, the pressure is off the Hedge Fund boys to turn in a good year for their annoying customers who have been demanding it. The time is now ripe for a change in sentiment.

Tomorrow will be interesting. Will the markets, in general, start off with a bang, a whimper, or a blood-curdling yoo-hoo-hoo! over the cliff?

GOOG, in the meantime, has its own cliff to peer over. The technical boys, who don't care that Google is the greatest company in the history of mankind, are pointing out that the stock has been tracing out a series of lower highs in the past few weeks.

Whether GOOG bounces off support at 675, or goes crashing through it like a water bed on a weak attic floor, may depend on what the larger market does. If the market opens down with even a little enthusiasm, GOOG may be headed for the first floor, around 650, or even the basement at 625.

A check of the corral shows that the bulls are still a little cocky, so the chances for a downturn, tomorrow, would seem to be better than even. But the problem with tomorrow is that, even when it's over, we may still need a weatherman to know which way the wind is blowing.

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