My Biggest Concern About This Market
On Wednesday, the Nasdaq traded back and forth in a fairly
narrow range. It remains above its 50-day and 200-day moving averages.Â
The S&P put in a similar performance. It too remains
above its 50-day and 200-day moving average. Â
So what do we do?  As one trader
quipped today: “Wake me when it’s over.” Well, that pretty much sums
it up. Pretty much a “do over” type of day. Again, this has been my
biggest concern about this market–its inability to follow through for more
than a few days. Looking a littler further out, so far, the indices continue to
hold their shorter-term and longer-term moving averages. This in and of itself
isn’t much to write home about, but it is a positive. Therefore, continue to
look to nibble on the long side in stronger areas such as Internet and retail.
On the short side, biotech still looks poised to resume its recent slide out
of a pullback.Â
As far as setups, Sina Corp.
(
SINA |
Quote |
Chart |
News |
PowerRating), in the
aforementioned strong Internet sector, appears to be resuming its uptrend out of
a pullback.
Â
Best of luck with your trading on Thursday!
Dave Landry
P.S. Reminder: Protective stops on every trade!
P.P.S. My new 20-hour course is now shipping.
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