After another weak open, the bulls quickly came in to push us back in the green. I am seeing a decent amount of green in terms of individual issues in my portfolio and watchlist, such as CLNE CYOU JWN TRLG WFM WPRT. The action feels a bit slow, as many traders are glued to CSPAN on their televisions, awaiting a debt ceiling vote. I am not interested in the actual political outcome so much as the reaction, or lack thereof, by the market.
Despite the selling that we have seen since Monday, the senior indices have yet to suffer any type of major technical damage. Instead, breakout plays gave way to weakness, and we have essentially pressed the ‘Restart” button in terms of looking for many stocks to stabilize and set up again. To be sure, the bulls need to hold the line here, but betting on a major breakdown has been a losing play largely since March of 2009. The danger of this time being different is omnipresent, but I do not have much of an interest in betting on it yet.
