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Mr. Market sure is doing his best to keep all traders on their toes. Those looking for a rollover have yet to see it. At the same time, the energetic upside moves have largely abated, and we are left with a decidedly dull market. As I have been noting here, the precious metals miners are seeing inflows, in addition to select areas of the market.
For the most part, though, I believe we are still seeing a correction through time, rather than price. I know that may sound foolish, especially since the S&P 500 hit new highs only yesterday. However, the net effect of the recent price action has been more consistent with digestion than anything else. The trannies and biotechs have undergone corrections, and yet the major indices are holding up. What that tells me is that capital is willing to stay within equities as an asset class, and simply “lock and roll” away from extended stocks and sectors and towards the laggards, rather than flee stocks in favor of, say, bonds.
The important point is to understand that we remain in an uptrend, and therefore a continued drift higher is a distinct possibility. Of course, a few days of correcting would probably do wonders to set up another afresh, energetic leg higher. That said, understand that Mr. Market is rarely that accommodating. It is understandable to be a bit antsy here. My focus is on giving the benefit of the doubt to the bulls, until they really fumble.
I will have more after the bell on my recap.
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Can’t wait for the recap, thanks
I want a margin liquidation type event so I can lock and reload.
too many people are wanting a correction in order to buy, thus it won’t happen. it will happen when those guys give up and buy, then look out below
Exactly.
LOLOL I love the pic