DAY AFTER THE DOW BOUNCE
WILL MLPS FINALLY BOUNCE?
And that this morning is the big question that lays before us. The violence of yesterday's last half hour rally just did not have time to spread out as the first things to go up are the obvious. The MLP index managed to get back 1 point from from a 6 point loss so i would expect it to play Catch up today. 320 puts a triple bottom floor on the chart.
Of course its a triple bottom as long as 320 holds. But the chart looks very tenuous here as the selloff has been hard and fast. At least for now its holding. Btw for those of you who like the 200 way moving average it s down around 310.
Some news from last night as we have earnings from Penn Virginia Resources and Penn Virginia Holdings.Numbers look okay at first glance.
Tropical activity is picking up as disturbed weather in the Carribbean appears to be orgainizing into a tropical depression based on the recent satellite loop. Look for natural gas to key off this should we get an upgrade to a depression or a tropical storm later today. Natural gas is up 7 cents overnight and barring a disastrous supply number at 10:30am gas could challenge Monday's intraday high up around 6.65-6.70
No corporate news this morning and no upgrades or downgrades so far. The ex-distribution cycle continues with Holly(HEP), Penn Virginia Holdings(PVG) Penn Virgina Resources (PVR) and Boardwalk going ex-distribution along with Magellen Midstream (MMP) Enbridge Energy Partnes (EEP) and a few others. Stock futures have been slowly strengthening this morning. Crude oil was sharply lower but has rallied back over 76 dollars. Crude hit a record intraday high yesterday. Tropics could be a driver here also.