Watch The Short-Term Action In This Sector

  • December 8, 2004
  • Rob Hanna

So
everyone knows yesterday was a distribution day, but no one knows
just what it means for the market.  So far I think it is too early to tell.  I’m
considering it a warning flag.  Another day or two like that at it may be time
to take some partial positions off the table.  No change in stance yet though.

 

Today I wanted to make you
aware that there will be a slight change to the format of the column.  Much of
the work I have done over the last year-plus has involved index trading. 
Traders may use ETF’s, options, or futures to trade indices.  Many of you may
have noticed the upcoming release of my

Hanna ETF Money Flow System.  After much research and testing this has
become my preferred method to trade index shares.

 

In addition to the market
commentary and trading ideas that you have become accustomed to, I will be
adding a section to the column that will feature index action.  I will note
extraordinary action that I believe is notable in certain indices or sectors.  I
may also occasionally track the progress of possible Hanna Money Flow system
trades for the benefit of those readers who are trading the system.

 

I will continue to “Put It All
Together” as I have always done and share with you my thoughts on all things
trading, including the mixing of short-term and intermediate-term trading
strategies that has become my calling card.  I hope you all enjoy the new
addition and welcome any feedback you may have.  Rather than posting a huge
column today, I will be back in action with ideas and thoughts for “Putting It
All Together” on Monday.

 

Index Action

 

The most notable short-term
sector action has occurred in the commodities-related areas.  Miners, oil
companies, etc., have taken it on the chin as commodity prices have fallen
dramatically the last few days.  Outside of commodities, Semis and Smallcaps
have been weak and Biotechs are showing strength short-term.  No signals for any
high-probability rotations just yet and so I am just watching and waiting with
regards to my index trades.

 

Best of luck with your trading,

 

Rob

 


robhanna@comcast.net

 

P.S.  Check out my new


Hanna ETF Money Flow System!