Back To Flash Crash 1,040 (SPX, AA, TIF)

With today's rally the S&P 500 (SPX) is up 17 points, or 1.68%, to 1,039.80. Let's round-up and make it an even 1,040, which is conveniently the "Flash Crash" low of May and the low of early June. The market appears to have found a resistance point. However, things are perhaps better than they were back in May: The market has already discounted a lot of sovereign debt fears, slower Chinese growth, and weaker retail and pending home sales. Eventually the market will look beyond these concerns and if there is growth (and that's a big if) the market will move higher. We are still in a growth mode now, that growth is just decelerating. This earnings season and company outlooks should be one of the most interesting and vital in recent quarters. With many stocks such as Alcoa AA and Tiffany & Co. TIF roughly 30-40% off their respective highs, now may be the time to build up long positions in select names.