What could trigger another leg up
Gary Kaltbaum is an investment advisor with
over 18 years experience, and a Fox News Channel Business Contributor. Gary
is the author of
>The Investors Edge. Mr. Kaltbaum is also the host of the nationally
syndicated radio show “Investors Edge” on over 50 radio stations. Gary is also
editor and publisher of “Gary Kaltbaum’s Trendwatch”…a weekly and monthly
technical analysis research report for the institutional investor. If you
would like a free trial to Gary’s Daily Market Alerts
Normally, I have strong
convictions about things. Right now…don’t even know where to start.
Here is what I am seeing…
ENERGY getting a little toppy from here. Big
volume in the
(
OIH |
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(
XLE |
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testing…which would be normal after recent move.
HOUSING has been feast or famine…literally
straight up and straight down. At this point, any weak volume bounce would
create shorts in the weaker names like
(
TOL |
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HOV |
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Small and mid-cap are outperforming big-cap by a
wide margin right now. Until something changes, that’s where you concentrate.
All one has to do is look at the charts of the NDX, NASDAQ, S&P and the DOW vs.
any small or mid-cap index.
(
NTC |
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GE |
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YHOO |
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SYMC |
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C |
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BAC |
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IBM |
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TYC |
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TXN |
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JNJ |
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JNPR |
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AMZN |
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HD |
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AMGN |
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AIG |
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VRSN |
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BA |
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BBBY |
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LOW |
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DNA |
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WAG |
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ADSK |
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MMM |
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WFC |
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DD |
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CA |
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MFE |
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I can go on and on about the big cap names that have been obliterated. Spend
some time looking at these charts and you end up scratching your head as to how
the market is not much lower. You would think some of those names would be
important to the market but so far…nothing doing.
BONDS are topping out again here. I am not sure
what that means for stocks.
BROKERS continue to be strong…showing no
distribution…even with last Friday’s drubbing. TRANSPORTS remain very strong
as the RAILS lead.
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AAPL |
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the 50 day average and better support is at $70.
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GOOG |
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next week. I mention these 2 because they are noisy and over owned.
Lastly, if the bigger indices can bounce and
rally off their 50 day averages…which is right here, I believe there will be
another leg up. There is no shaking off the fact the small and mid-cap indices
refuse to even budge to the downside. As I write this, futures are strong on the
back of a strong Asia and Europe. The ability for the market to hold the strong
open will tell me a lot more about the near term.
Gary