It was yet another mixed day in market land.
The Ps sold off fairly hard, losing nearly ½%. This action keeps them in a shorter-term trading range. Again, they haven’t changed much in around three weeks. Longer-term they still look okay. They remain in an uptrend and they only appear to be consolidating.
The Quack dipped a tiny bit before reversing to close flat on the day. So far, its persistent breakout remains intact and it looks poised to resume its uptrend out of a minor pullback.
The Rusty also dipped a bit did manage to recover to close back in the black. So far, it remains just above its prior consolidation.
The Ps, Quack, and Rusty pretty much sums up what happened internally. Some big cap stocks were weak while smaller cap stocks mostly hung in there.
There are some areas stinking up the joint such as Real Estate and Metals & Mining. There are some areas that are sideways at best such as the Foreign Shares (EFA), Chemicals, Semis, and the Energies. There are some areas such as Uranium that appear to be bottoming. And, there are some areas like the Transports, Defense, Drugs, Financials, Health Services, Insurance, and Regional Banks—to name a few—that have only pulled back and look poised to resume their uptrends.
I guess that’s a long winded way of saying things are mixed but overall they still look okay.
Again, as usual, take things one day at a time.
As I said yesterday, a few big up days would make all the difference in the world.
Speaking of which, BAM! Futures are up huge pre-market.
The $64,000 question is: Will it stick?
So what do we do? Okay, I’m glad the futures are up big but you can’t let that make you too euphoric. Follow through will be key. If we end in the minus column by the end of the day, I’m going to be pretty bummed. Coming into to today, I’m still not seeing a tremendous amount of buy side setups. As I have been saying, this night be the database suggesting to let things shake out a bit. Again, don’t worry. If we end up in a bona fide new bull trend, there will be plenty enough time to add new positions. In the meantime, let’s see if it sticks.
Best of luck with your trading today!
P.S. Check out my upcoming Stock Selection webinar. I’ve been working hard on the material and I think it is going to be awesome if I say so myself. I wish I would have known all these things 20-something years ago.