Leave Your Opinion At The Door
Despite today’s action, the long-term trading support on the
mentioned yesterday does not appear to be broken. Still, this downside momentum
is sending the message “Respect me!”
So like I said yesterday, we keep an open mind to either direction.
You must not only be nimble as a trader, but also mentally nimble — meaning
don’t get locked into an opinion.
Stocks showing strength under adverse market conditions are certainly
encouraging.Â Take a look at Sherwin Williams. The stock broke convincingly
above its 200-day moving average and closed near the high of the day on very
heavy volume. This, as the S&P 500 closed near its lows.Â
Why do I mention this?Â Well let’s just say you want to keep a
lineup of bullish ducks as well as bearish ones. The prevailing direction of
the market tells you which way to shoot.