The Tale Of The Tape
I wish I had
a lot more to talk about and a lot more to show…but the markets
refuse to cooperate. The major indices, at least in the near term, have held
vital support. That’s about as positive as I can get. This is normal after the
latest drop. For the purposes of the intermediate player, there is simply not
much to do. I learned a long time ago not to force things, so I just wait.
While today’s action helps, it does not change the playing field. There have
been too many groups that have broken support…and the number of stocks that
have appeared to have broken or gapped down is amazing. I also see it as
negative that breakouts continue to fail.
The Tale of the Tape
Major indices put up a fight at support. The levels I see are:
The Nasdaq at approximately 1930-1950.
The S&P 500 at 1170.
The Dow at 10,200.
Â
Q:Â
What do all these groups — Apparel, Airlines,
Insurance, Homebuilders, Gaming, Oil Services, Restaurants, Brokerage,
Utilities, Misc. Retail — have in common?
A:Â They have all been leading groups
over the past year…only to have currently topped.
So go slow. Continue to
learn the message of this market. It has been about quick rallies only to fail
miserably. How many times do you have to get fooled? There may be one day when
we see the market decide to get going…where you don’t have to look over your
shoulder. At present, I don’t worry about being late. New bull markets can last
a very long time. The technicals of this market indicate nothing near a new bull
leg as far as I can see…in spite of the loud protestations of bullish
strategists.