GM bankruptcy hearing.

Lawyers wrapped up their closing arguments in the GM bankruptcy case Thursday, opening the way for the judge to decide whether to approve or deny the sale of the automaker's assets to a "new GM."
GM's lead attorney, Harvey Miller of Weil Gotshal & Manges, urged Judge Robert Gerber to approve the sale of GM's assets, arguing that there was no other option besides liquidation. "No one objector has brought forth a viable alternative other than, 'your honor should deny the application,'" a scenario that he likened to "playing Russian roulette with the government."
Miller said, "in effect, the objectors are saying, 'If I can't get my pound of flesh, then let GM go down in flames.'"
The U.S. Treasury has imposed a July 10 deadline for approving the deal saying that it would otherwise walk away.
Tracking the Dow on Thursday,02/07/09.
9:30am:--Opening bearish 80.0 points gap-down followed by a breakaway bear hammer.

Nonfarm Payrolls report, 467,000 jobs were lost in June and the unemployment rate reached 9.5%, which is the highest level since August 1983.

10:30am:--Mild technical rebound.

The European Central Bank leave its benchmark lending rate unchanged at 1.00%, as expected. According to ECB President Trichet, economic activity over remainder of year is likely to remain weak.

11:30am:--Bearish inverted hammer.

May factory orders surprised to the upside at +1.2% vs the +0.9% expectation.
This is a good sign that suggests industrial production may stabilize, but orders still remain below about 20% the levels of last year.

12:30 noon:--Bears are still holding at session low and difficult for any advance.

The major indices continue to trade with steep losses.

1:30pm:--Graveyard diggers.

Trading volume was extremely light ahead of the long, holiday weekend. Hardly 700 million shares traded hands on the NYSE in what was the most thinly traded session this year.

2:30pm:--Bears still holding at day's low.

Energy was hampered by a 3.7% drop in crude oil prices, which closed at $66.73 per barrel. Crude has fallen for three consecutive sessions. Meanwhile, financials were severely undercut by losses among insurers.

3:30pm:--Double spike down to a new low.

The stock market attempted to pare some of its losses following the orders announcement, but the disappointing jobs report dominated headlines and overshadowed the encouraging orders data.

4:00pm:--Another spike down to end the day's low.

An unshaven black day candlestick.
The unshaven long black day candlestick will normally be accompanied by a technical rebound.

Since there are no upper and lower shadow,a first week setting has been made with a very good range to maneuver.
A rebound will bring us back to the bear pivot area before further hammering continues.
Daily volume has been dwindling,a sign that recession is biting into investors as well.

AIG reverse-stock split.

AIG's Stockholders Meeting on Tuesday, June 30,approved among other things, a reverse stock split of 1:20, meaning that if you had 1,000 shares you'll wind up with fifty. If you had ten thousand shares you'll have 500. They will initially multiply the share value by a like amount, so you won't lose any equity, but your chances of growing your investment have become pretty slim.
The insurance company's rationale is that, because their stock is valued so low -- it just sold for $1.16 -- it has lost institutional investors, many of which will not buy a stock that is priced under five dollars. But worst, they ominously warn, if the stock falls below a dollar as it did up until a couple of months ago, the New York Stock Exchange may delist them. The fact that the stock rose to over two dollars and has never declined below the mid one dollar range in over two months would appear to make this concern overstated.
The last closing price before ex-split was USD1.16 per 1000 shares.This will be translated into 500 shares X 20 = USD1.16 X 20 =USD23.20 per 1000 shares.(Cost price)
When it was open for trading this morning,the day's range was between $17.54 - $22.96 and closes at $18.08 which was up $16.92 a hefty 1,458.62 % gain.
Very misleading.This is a loss of 0.26 cents.($18.08 Divide by 20 = $0.90 cents)

Tracking the Dow on Wednesday,01/07/09.(Pivot Week)
9:30am:--Bullish 50.0 points gap-up.

Oil prices climb 2.3% to $71.50 per barrel ahead of the latest weekly inventory announcement (10:30 AM ET).
10:30am:--Early high with a hangman.

The ISM Manufacturing Index for June came in at 44.8, which is slightly below the 44.9 that was expected. The reading for May came in at 42.8.

11:30am:--Pullback towards the bull pivot with bearish dojis.

Consumer staples stocks are showing the best gains of any major sector.

12:30noon:--Bearish engulfing at bull pivot.

China to debate proposals for a new global reserve currency at next week's Group of Eight summit in Italy.

1:30pm:--The bull pivot hammer.

The latest ADP Employment Change report showed that private payrolls were slashed by 473,000 during June. The consensus called for 395,000 job losses, so the report served as a reminder that job conditions remain weak and participants could be in store for a disappointment with the government's nonfarm jobs report on Thursday.

2:30pm:--Bearish hammer at MAV support line.

A drooping U.S. dollar bolstered precious metals prices in pit trading Wednesday, but energy-related commodities faltered.

3:30pm:--A graveyard doji.

4:00pm:--A hammer warning at the bearish low.

A bullish inverted hammer opening start for July.
Holding below the MAV line which is also at previous month opening level.

Participation was lacking again this session as less than 1 billion shares traded hands on the NYSE. That's the least amount of trading volume in nearly three weeks. Volume is also expected to be light tomorrow since it is the week's final trading session ahead of the long weekend.
U.S. markets will be closed on Friday in observance of Independence Day.