• Higher!
• DOW (+1.53%); S&P500 (+1.61%); NASDAQ (+1.27%)
• The market is in a confirmed uptrend since the October 4th pivot point that we identified.  Yesterday’s surprise drop in the market took it down through the lateral consolidation top that serves as support.  In other words, the market broke the support – but it took a real surprise event to do it.  Today, the market closed above this support line.  There will be more wrestling by bulls and bears in this area.  Yesterday’s volume was high, and today’s volume much quieter.  See your SMC S&P 500 (ETF) Daily Chart Below.  Click on it to make it larger in a separate browser window.
• Commodity based stocks like SMC Holding US Steel Corp. (X $25.97) put yesterday’s weakness behind it and validated the current uptrend (so far).
• Germany is asking Greece to clarify if Greece wishes to remain in the European Monetary Union.  See below.
• Greece is apparently planning to carry out its referendum on the latest budget bailout plan.  See below.
• Greece’s referendum has far reaching implications – beyond finance. See below.
• Can it be that the markets will begin to simply “discount-in” a Greece default and put it in the rear-view mirror for a time?
• SMC Watchlist stock Mela Sciences received FDA approval for their MelaFind melanoma detection system.  The stock bounced around a bit today on the news and sold off.  But now, (later in the day) a reputable finance firm has given it a $20 target.  The stock is now $5.80.  It may be time to buy some of the shares and put them in a deep drawer.  We will see tomorrow.
• MelaFind is in the news tonight. Here is an example of a good overview of what the device does and some of the FDA approval process difficulties for Mela Sciences.
• LASIK surgery is not without its uncertainties and disappointments, which are mostly irreversible.  We highlight a company that offers a competing product which may be in its infancy and it is growing in its application.  This is a very interesting development, both as an investment and for subscribers and their family members considering LASIK at this time.  Don’t miss it, below.
• Please click here to send us your feedback.  Let us know how we are doing – We are here to serve you. Support@Stockmarketcompanion.com

• Here is a video interview of a father and son using the Stock Market Companion successfully together – as a teaching and investing tool.
  

– Markets “At a Glance” –

(Please scroll down to the end of the report to see your favorite benchmarks – Dollar, Oil, Gold … closing prices and daily direction.)

– Market Trends –

*Summary of terms from Trader Vic II-Principles of Professional Speculation (pg. 140-141)
*_________* Represents a change in trend rating.

– Market Perspectives –

For your added perspective, we’ve included this chart of the broader market (Successful stock investors develop and start with a minds-eye view of the broader market and keep it clear) –

SMC SP-500 ETF Daily Chart

Please click on the chart to view it in a larger size.

– Today’s Highlights –

Imagine anticipating going to a World Series baseball game in an old-fashioned, outdoor stadium in your home town.   The day started cloudy and rainy, but you had good reason to expect that the weather would turn around and you were looking forward to an exciting game.  You arrived at the stadium, and the rain even increased some – but you thought that it would eventually let up and that the game would still go on.  The game was started and soon the rain did let-up and there was even sunshine peaking through the clouds.   Everything was going great.  Then out of nowhere, a terrible looking black cloud emerged and let loose a deluge of rain that no one expected.  Everyone cried in disbelief and dismay.  The game was immediately cancelled and everyone left for home, soaked and disappointed.

So it was yesterday around the world in the investment markets.  Investors felt like they had been soaked by surprise news out of Greece and they were very disappointed.

Hard working European negotiators had hammered out a very difficult agreement concerning Greece’s debt obligations with banks and other financial institutions the week before.  To understand the pressure that these negotiators and other politicians (notably in Greece) are under, consider that one Greek negotiator experienced a heart-attack in Brussels.  In Greece, other politicians close to the Greek Prime Minister Mr. Papandreou have required hospitalization.  Then on October 31st, the Prime Minister decided unilaterally, without consulting his other Greek or European counterparts, to have a popular vote on the proposed bailout plan.  Hmm.

This article covers the current exasperation concerning the Greek debt crisis well.  (Reuters)

Here is an excellent timeline overview of what has been taking place in Greece. (Reuters)

• The markets were AGAIN divergent today, just as yesterday revealing further weakness in the technology sector while the broader market (S&P 500) and the DOW (DJ-30) held POSITIVE.
• Research in Motion (Ticker: RIMM $27.75) reported earnings last night that were a major disappointment.  We go through the details below.  The company received 2 broker upgrades going into earnings.  The stock then lost -21.45% from yesterday’s close into today.  We go through our steps in handling our brief investment in the stock this last week – AND WHY, below.
• Crude oil continued to descend today, reflecting a drop in value of the U.S. dollar – BUT also  concern of future demand as the global economy slows down.
• The S&P 500 is finding support at its 200 day exponential moving average.  If the broader market doesn’t find strength here and begins to sink further, the next near point of support is the low it plumbed during the recent nuclear crisis in Japan.  If it fails that point, then the intermediate term trend will be DOWN.
  
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