Typical Summer Day
Yesterday’s
action was similar to Monday’s, tight range, little movement.
The afternoon did offer some good opportunities as the S&Ps broke
down through 1221 and promptly sold down to 1214.
All in all, a typical summer day.
This morning the futures are
trading up, with the S&Ps just under the 1221 level that was pivotal
yesterday.
The last two weeks had been much better than the traditional summer
trading, but as we head into August, prime vacation time for Wall Street,
trading may slow up a bit. If so, choose
your trades very carefully.
Key Technical Numbers:
| S&Ps: |
NASDAQ: |
| 1226 (50-day moving average) |
1759 |
| 1221 |
1728 |
| 1204 |
1712.35 |
| 1195 |
1679 |
On Monday I had mentioned Doral
Financial
(
DORL |
Quote |
Chart |
News |
PowerRating) and National City Corp.
(
NCC |
Quote |
Chart |
News |
PowerRating).
Both daily charts still look good as each stock grinds to new highs.
Given the fickle nature of this market, use a trailing stop to protect
profits and avoid sudden “air pockets.”
I will be on vacation starting
tomorrow and will return on August 13. Feel
free to continue sending your comments and questions, and I will address them
when I return, and don’t forget to read my
lesson.
Have a good trading day.