Is This the Dip to Buy?

It’s Veteran’s Day, I’m taking a moment to recognize
the sacrifice and dedication of our military.

The bond markets are closed today, so we’re losing
an important catalyst for the stock market. Without the running gauge for
the U.S. dollar, traders will have to depend on recent news to drive the
action today. And that may not be a good thing…

Cisco (Nasdaq:CSCO) is down huge after its
earnings report last night. The company beat earnings by a couple
pennies, but offered guidance that was well below expectations.

I’m not sure Cisco has ever traded down 16% after
earnings. The stock will be testing its late-August lows, which is also a
52-week low. There should be pretty good support at $20, established in
2009. But this action still throws a pretty sizable monkey-wrench into
the rally.

I’m not sure how Treasury Secretary Tim Geithner keeps a straight face
when he says,