The major averages look to be well on their way to putting in “doji days,” or flattish, calm trading sessions. Usually, it is a mistake to make too many trades during a doji trading session. As an example, a name like CMG looked strong at the opening bell, but has had some trouble this morning holding its breakout.
However, there are pockets of momentum and setups still flourishing this morning. GOOG and NFLX are acting like market leaders, while SPWR is leading the solar group higher. I am still looking for non-extended patterns to follow leaders higher, and have my eye on DSX EGLE GNC PNRA RAD REXX SHFL, among others.
Overall, the market is holding its gains and trying to build on Tepper Tuesday. Even with the steel and coal sectors slumping, capital is sticking with that which is working well. That theme won’t last forever, but it sure has had some staying power.
