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A Final Thought for 2007

Another year has come and another year has gone..

2007 has had more than its share of turmoil in the markets as we have been witness to the continuing collapse of the United States housing market, the credit implosion, rising inflation, and signs that the US economy is headed into a recession (as judged by the GDP but I already feel that we are in a recession). Although market volatility as measured by the VIX did not set an all time record we did create in many aspects this year a new definition for volatility.

We leave 2007 with confidence in the financial institutions damaged at best and the cancer of the credit crisis further crippling the housing market and the economy as a whole. The clock may strike midnight tonight, the calendar will change and we all will mistakenly write 2007 for a few week when we write checks. But even though the calendar will say a brand new year is upon us after midnight, the party atmosphere will soon wear thin again once the earnings of corporations who have enjoyed double digit growth no longer are able to report those same stellar numbers. The impact of the credit implosion, the housing decline, and the inflation will be felt at the corporate level in 2008 at an increasing pace.

But in spite of all of this we will have a prosperous 2008 as we will be on the ‘right side’ of the trades and sectors in the end. 2008 also brings the new web site with new features and helpful sector analysis, real time interaction with us, a member forum to discuss your own ideas, and a weekly webinar (after market hours) with Q/A and insight into the market from our technical analysis.

Lisa and I are very excited to bring to you the complete RebelTraders Web portal and we hope you will like it as well. Lisa and I pride ourselves on being professional and this will show in our web site.

So how did 2007 end up? How about some year end stats:

Stocks that are under their 200 day moving averages

• S&P 500:    56% are under 200 day moving average
• Dow:            43 % are under 200 day moving average
• Nasdaq:      55% are under 200 day moving average

Gains/Losses for 2007:

S&P 500 3.5%

Nasdaq 9.8%

DOW 6.4%

Russell 2000 -2.7%

S&P Small Cap Index - 1.2%

S&P Mid Cap Index 6.7%

US Dollar Index - 10.9%

Gold 35.4%

Lisa will be posting a commentary tomorrow. . Until then we wish all a healthy and happy (and prosperous!) 2008!