We are in no man’s land. The market touched up against the 50dma yesterday. It will attempt it today. Bottoms are a process it could take 3 or 4 touches before we get a break. I'm noticing on the charts I'm looking in individual stocks that 99% of them are making lower highs on this ramp up. The SPY is bear flagging right under the 50dma and has reached overbought territory which is usually the perfect recipe for a slight pullback. On the gap up today...I'm unleashing a majority of my longs and going to wait this out for resolution.
When a market or stock is stuck between its 2 major moving averages that has to settle itself out before a direction in trend reveals itself. Right now its a range trade. What i see is that we are at the top of the new range and will wait for a dip.
the only thing on my radar is quick breakouts.. We are in MPG, EXK, GSS and a few others. I will sell majority of them on gap up and book the 10%+ gains.
Don't be greedy and hold for booms. when u make 10% gain in 1 day off some random guys chatroom picks...just take them! We are not making new highs so the odds of booming 40-50% swingtrades are small especially with the market bear flagging. we went from crash to overbought pretty quick…chill time folks.
On radar today is RODM they finally withdrew their shelf . http://finance.yahoo.com/news/Rodman-Withdraws-Shelf-bw-508915718.html?x=0&.v=1
I will continue to add UCO on dips and sell them on rips… its in a bit of a range.
And on gap up I will add to my DTG short in the 49s. This thing is ripe for a fall. The deal that was offered to them was in the 40-41 range. This should come to a head soon enough
