Bailout plans stuck.

A U.S. financial bailout plan remained stuck in legislative limbo, raising investor worries that the economic crisis could deepen. The $700 billion rescue package resolution remain in jeopardy.

Negotiations continued Friday to revive the White House-backed initiative, a day after talks broke down in heated disagreement over the scope and cost of the unprecedented government intervention. The measure would remove billions of dollars in bad mortgages and other risky assets from banks' balance sheets in a bid to calm frenetic financial markets and soothe a jittery public.

Some conservative GOP lawmakers Thursday denounced the plan as an unnecessary federal intrusion into the private sector and proposed a dramatically different scheme under which financial firms with bad assets would pay the Treasury to insure them, rather than sell them outright to the government. It was unclear what form the final proposal would take, though lawmakers from both parties reported making progress on a plan late Friday.

Tracking the Dow on Friday:26/09/08
9:30am:--A 100.0 points gap down with a bottom spin.
The Fed has brokered another deal for JPMorgan Chase (JPM).
10:30am:--Filling back half the gap.
The failure of Washington Mutual is being reported as the largest bank failure in U.S. history.
11:30am:--Pullback to session MAV.
The second quarter GDP indicated the economy expanded at 2.8%, which is below the 3.3% increase previously indicated.
12:30pm:--Bullish Harami.
President Bush just concluded a speech assuring that an agreement to fund financial companies will be reached.
1:30pm:--Bulls holding at day's opening.
Getting for the breakout.Consumer sentiment came in at 70.3, according to the University of Michigan sentiment index. The consensus called for a reading of 70.8.
2:30pm:-- Consolidating at day's opening price.
Political infighting is undermining negotiations for a plan to purchase ailing assets from financial firms. Just yesterday it seemed the plan was nearing approval. Now uncertainty lingers.
3:30pm:--Two ascending soldiers.
With only a few days remaining in the third quarter, economic data pertaining to the second quarter is of little issue anymore. In turn, market participants looked past lowered second quarter real GDP data.The final real GDP reading indicated the economy expanded at an annual rate of 2.8% from the prior reading of 3.3%
4:00pm:--Bearish engulfing.
A weak open might follow suit before it propell again.
Friday's bullish reversal body has covered part of Monday's candlestick.
To fully recover another 200.0 odd points before month's end is a possibility as it is also the pivot month of the Dow Futures.
Futhermore most of the futures market in Asia are due for expiry this month end.
Any sucess in the rescue deal package can bring the market another lift-off.