Markets Now In the Meat Of Resistance…This Is What We Need To See
I am putting out a report today because I have no
clue what Tuesday will look like in Orlando, Florida.
clue what Tuesday will look like in Orlando, Florida.
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First off, I have received dozens of emails wishing me and my family well.
Thank you! Tough week at the Kaltbaum household as Aaron’s Bar Mitzvah was
cancelled. Aaron is doing fine. I am whining.
Thank you! Tough week at the Kaltbaum household as Aaron’s Bar Mitzvah was
cancelled. Aaron is doing fine. I am whining.
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To all our listeners, clients, subscribers and viewers in the path of
Hurricane Frances, stay safe. This is a killer hurricane that will play no
favorites. It is big and unfortunately, moving slow. I may have to take a boat
to work on Tuesday.
Hurricane Frances, stay safe. This is a killer hurricane that will play no
favorites. It is big and unfortunately, moving slow. I may have to take a boat
to work on Tuesday.
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Before I get into the crux of this report, I want to repeat something I have
been saying since the 3rd week in January. I continue to stand by the words.NO
MATTER WHAT, THIS MARKET IS GOING TO REMAIN CHALLENGING. THE MOVE IN 2003 IS
OVER. YOU NEED TO BE MORE NIMBLE AND MOST IMPORTANTLY, SELL ANYTHING THAT
BREAKS DOWN…AS BREAKDOWNS HAVE BECOME BLOW-UPS.
been saying since the 3rd week in January. I continue to stand by the words.NO
MATTER WHAT, THIS MARKET IS GOING TO REMAIN CHALLENGING. THE MOVE IN 2003 IS
OVER. YOU NEED TO BE MORE NIMBLE AND MOST IMPORTANTLY, SELL ANYTHING THAT
BREAKS DOWN…AS BREAKDOWNS HAVE BECOME BLOW-UPS.
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The markets continue to act better…simple as that. The tone is better.Â
The “feel” is better. Leadership is better. As I have told you, keep
probing. If it keeps working, terrific. The main problem remains a lack of
volume. There is no way this market can get real legs without the big money
crowd showing up. As of yet, they remain on vacation. Maybe next week will
change the playing field as summer ends.
The “feel” is better. Leadership is better. As I have told you, keep
probing. If it keeps working, terrific. The main problem remains a lack of
volume. There is no way this market can get real legs without the big money
crowd showing up. As of yet, they remain on vacation. Maybe next week will
change the playing field as summer ends.
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In spite of Intel’s blow-up this morning, I am watching:
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New highs expand.
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More breakouts working.
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Some leadership showing up…that has not occurred in a long while.
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The DOW and S&P 500 moving back above the vital 200 day average.
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The market is now in the meat of resistance. In order to get through, and it
will be tough, volume must expand. Be rest assured, this market is in
no way like 2003 where you could throw a dart. Less than 50% of all stocks
remain in poor technical shape (though the number has improved). Plenty
of groups are still not in gear and the all important SEMIS cannot
get any legs…as of yet.
will be tough, volume must expand. Be rest assured, this market is in
no way like 2003 where you could throw a dart. Less than 50% of all stocks
remain in poor technical shape (though the number has improved). Plenty
of groups are still not in gear and the all important SEMIS cannot
get any legs…as of yet.
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The tape remains very split. There is no doubt in my mind that the NYSE-types
are the place to be. I am still very negative on the TECHS and especially
SEMICONDUCTORS, as I am still finding no leadership in those areas. I
would continue to completely underweigh those areas except for an occasional
AAPL or QCOM. I have been harping on this theme all year in spite of many
telling me I am nuts. I cant begin to tell you how many pundits have been out
there telling you to just “BUY TECH”. There are just too many
warnings and poor reactions in important names . Your performance will most
definitely be impacted by trying to pick off the so-called lows. I have
seen very little action in the way of powerful accumulation in TECHLAND…and
as I write this, the SOX is back at new yearly lows. There will need to
be a period of basing and bottoming before any decent move can occur. Just too
much damage is being done.
are the place to be. I am still very negative on the TECHS and especially
SEMICONDUCTORS, as I am still finding no leadership in those areas. I
would continue to completely underweigh those areas except for an occasional
AAPL or QCOM. I have been harping on this theme all year in spite of many
telling me I am nuts. I cant begin to tell you how many pundits have been out
there telling you to just “BUY TECH”. There are just too many
warnings and poor reactions in important names . Your performance will most
definitely be impacted by trying to pick off the so-called lows. I have
seen very little action in the way of powerful accumulation in TECHLAND…and
as I write this, the SOX is back at new yearly lows. There will need to
be a period of basing and bottoming before any decent move can occur. Just too
much damage is being done.
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My staff and I want to wish everyone a safe and happy holiday weekend.
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