Despite an overnight fade, the bulls arrived at the open to the buy on the dip. I am seeing some better price action on a bunch of individual charts. Of course, the real issue now is whether even those stocks that have been outperforming, such as many in the biotechnology sector, will see sustained breakouts or whether they still need more time to base out with the market. I am in no rush to go all-in long here. However, I am willing to put out some tester longs and see how they fare.
It is also crucial to stay on top of this market even if you are completely sidelined. As an example, DSW was a strong chart to watch until today, when the market destroyed the setup after the firm reported a weak outlook. Obviously, that kind of action has me removing it from my watchlist inside 12631 for the time being. In other words, the market is dynamic enough to change character quickly and always putting in the homework is key.
While I am not fully convinced that this broad market correction has entirely run its course, I am respecting how firm and toned up it has become recently. Let’s see if it stays on track and if those breakouts can stick.
Man, I need to go to your gym.
Biotech is on a tear!
AAPL, PCLN & CMG finally outperforming.
VIX closing here below 20 would be a good sign for the market, though oil, bonds, euro and USD are all still stuck.
Everyone is sick of hearing it, but still in wait and see mode.
Sweet!
Santa maria…that’s the build
you might wanna check your math..more buyers than sellers in DSW today…and that chick looks sweaty smelly and fat.
DSW was down over 11% today, which broke the daily chart down from what was a sound technical breakout. Even if you think buyers of size bought into the gap lower today, it is now a broken chart and needs time to heal.