For whatever it is worth, in times like these, when so much is at stake for the financial system, for the U.S. economy, and for investors, my conspiratorial self takes over, and warns me that THE FED's ACTIONS MUST NOT FAIL. Sure, initially, traders might sell into a FED EMERGENCY RATE CUT, but after the dust settles, the world's most powerful central bank, the institution that all others count on during a last resort situation, HAS TO BE A POSITIVE AND SUCCESSFUL EXAMPLE TO INVESTORS WORLDWIDE.

It is for that reason, that today's rate cut must succeed in stabilizing prices. To make sure that happens, I would not be surprised if the elusive Plunge Protection Team swings into action to support the rate cut, and to ensure that the markets do not implode any further than they have already-- at least for today, and more than likely for the next two or three sessions until the bears are exhausted from "fading" the Fed's rescue operation.

For the time being, I want to remain long the Q's...

By Mike Paulenoff

Mike Paulenoff is author of the MPTrader.com (www.mptrader.com) , a real-time diary of Mike Paulenoff's trading ideas and technical chart analysis of Exchange Traded Funds (ETFs) that track equity indices, metals, energy commodities, currencies, Treasuries, and other markets. It is for traders with a 3-30 day time horizon, who use the service for guidance on both specific trades as well as general market direction

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