Morning Review - 05/05/08

Statistically, Tuesday and Wednesday of this week are typically bearish days, with the remainder of May typically more bullish. Focus this week according to the US Economic Events and Analysis Calendar may be Store Sales and Pending Home Sales. The only thing significant today is the ISM Non-Mfg Survey at 1000 ET.



The $TICK Pivot has been in a downtrend since mid-day Thursday. The ESM08 Pivot, however, has remained above the 1408 shelf thus far. The top of a larger support area is at 1403.







Looking at price, the top of the support area is 1405 with a mid-point of this area at 1394.75. So far, the market is staying above the 1405 area.


Here is an interesting conversation between philosopher Joshua Knobe and psychologist Laurie Santos called "Stupid Primates". Our ability to make objective financial decisions maybe hampered by our focus on avoiding losses. We may also have more in common with chimps than we like to admit.

Another interesting discussion between Will Wilkinson and Charles Morris concerning the current financial crisis titled "Free Will: Extra Credit Edition".


Charles

P.S. If you are a pessimist, this mug is for you! "This Glass Is Now Half-Empty"