Classic Bearish Action
Tuesday’s action was classic bear action. And to make matters worse, the market finally came after the leading names I have talked about for months.
Keep A Defensive Posture
The amazing thing about the week’s action was the reaction. Most thought the poor action just started on Thursday. The poor action has been going on for weeks despite the DOW hitting 14,000. I had outlined this to you in previous reports.
Time To Be Defensive
Oh…so now there are subprime problems…so now there are housing problems. As I have said, there are no problems until the market starts heading down.
Watch the SPX Double Bottom
Does the market follow through to the downside or does it put up a stand?
Energy and Semis Look Good
Here are the support levels I am watching closely…
Keep Watching the Leaders
I continue to love recent action in leading growth names…
A Lot of Sectors Are Still In Trouble
I am still bearish on anything INTEREST-RATE sensitive. Why? I am still bearish on BONDS. INTEREST-RATE SENSITIVE areas I am bearish on are HOUSING, UTILITIES, REITS, REGIONAL BANKS, S&LS most FINANCIALS, LENDERS and most BROKERS.
A Changing of the Guard
I am seeing a changing of the guard. Oils,Commodities look to be topping. This includes Steel, Copper, Aluminum and others.
Major Support Must Break Before Bears Come Out
It is a fruitless endeavor to predict crashes and depressions…let alone recessions.
Keep Watching Bonds
This report told you that if the TLT broke below $86.60, that would turn me longer-term bearish for BONDS…
Big Tech Stocks Are Lagging
Right now, we have seen 6 distribution days in the NASDAQ…normally enough to kill a rally.
5 Distribution Days for the Nasdaq
There is still a ton of things working in the market right now…