The Chart du Jour

An S&P Level to Key Off Of

April 25, 2001

By, Barclay T. Leib

Chart constructed using Advanced GET End-of-Day

I go away for a few days, and the financial world goes crazy. First, the masses feel compelled to buy every beaten-up tech stock on the Fed rate cut. Now the masses feel compelled to dump them again on a second glance at the still poor fundamentals and inventory overhangs.

All the noise and wasted energy chasing prices up and down is nothing short of amazing. As the old saying goes, "Wall Street is a street with a river on one end and a graveyard at the other," but there most certainly still appears to be a large playground for silly investors in the middle.

Are we bullish or bearish you ask? Mildly bullish continues to be our answer, but in a traders' scalping manner. Most immediately, we'd be looking to buy S&P 500 weakness toward 1188, and lighten up on strength toward the 100-day moving average that currently stands at 1270.50. Our sign to stay with this strategy will be the ability of this market to avoid intersecting the top of its first impulsive move higher at 1183.35 achieved back on March 27th.

If this latter level were to get intersected, it would be the first warning sign that this market is starting to fail again. It would not be an immediate indication to go short, mind you, but just a warning sign that we've likely had an A-B-C bounce with little more behind it. We honestly don't think such an intersection will be achieved, although we might get pretty close at 1188 support.

Trade the chop if you must, but if you do, avoid the semiconductor sector that still appears quite vulnerable. Better yet, if you want something compelling in which to truly invest in, just stay long gold. With Greenspan pushing on a reflationist string, it is the only low risk and obvious late-cycle play we currently see.

Non-subscribers are invited to sign up for a quarterly subscription below. Sand Spring's latest subscriber-only article "Four Themes for 2001 and Beyond," as well as our prior February 20th article "Measuring Financial Time: The Magic of Pi," will both be accessible on the final page of the order process. A user-id and password for web access to all past and future articles will then follow by e-mail.

It may also be of interest to some that because so much time (and thus timeliness) has now transpired, we recently released three of our 2000 subscriber-only articles. These now appear under the public Earlier Articles section of the website. Perusing through them may give one a sense of the added premium level of analysis we provide to subscribers.

How Your Articles Are Delivered
Upon the processing of your credit card or the receipt of a personal check, Sand Spring will e-mail you the articles requested as a Word attachment, and also provide you with a WWW address and password to view the article on the web without using Word should you so desire. Confirmation of your order will be immediate, and the actual article will follow by e-mail typically within a few hours and in all cases before the opening of NYSE trading on the following day.

Ordering by Credit Card:
Our shopping cart is designed for both physical and subscription products, so do not be confused too much when it asks you for a shipping address. A correct address is important only for credit card authorization purposes. Your e-mail information is the most important piece of information to us for proper delivery of your article(s).

Disclosure Statement

Sand Spring Advisors provides information and analysis from sources and using methods it believes reliable, but cannot accept responsibility for any trading losses that may be incurred as a result of our analysis. Individuals should consult with their broker and personal financial advisors before engaging in any trading activities, and should always trade at a position size level well within their financial condition. Principals of Sand Spring Advisors may carry positions in securities or futures discussed, but as a matter of policy will always so disclose this if it is the case, and will specifically not trade in any described security or futures for a period 5 business days prior to or subsequent to a commentary being released on a given security or futures.

If you order by credit card, your credit card will be billed as "Sand Spring Advisors LLC"

Should you have any ordering problems, please contact us at
973-829-1962 or by email at the address below:

Take me back to the Sand Spring Home Page

Comments or Problems

Thank you for visiting Sand Spring Advisors LLC, Inc. We hope to hear from you again soon. For more information on Sand Spring Advisors actual programs, services, or to request a copy of a Disclosure Document, please phone us at 973 829 1962, FAX your request to 973 829 1962, or e-mail us at

Corporate Office:
10 Jenks Road,
Morristown, NJ 07960
Phone: 973 829 1962
Facsimile: 973 829 1962

Best Experienced with
Microsoft Internet Explorer
Click here to start.

The material located on this website is also the copyrighted work of Sand Spring Advisors LLC. No party may copy, distribute or prepare derivative works based on this material in any manner without the expressed permission of Sand Spring Advisors LLC

This page and all contents are Copyright 2000 by Sand Spring Advisors, LLC, Morristown, NJ