We have a mild bounce going this morning, with some major beaten-down issues like MCD XOM putting together a rally, while other laggards such as CAT IBM cannot seem to get out of their own way. Gold miners are trying to bounce from yesterday’s nasty reversal. However, they remain in consolidation mode, overall, coming to terms with key overhead supply from the spring and earlier this summer.
I am not expecting too much from today’s session. My sense is that we could easily see a relatively tight range with neither side gaining clarity. If bulls can push up through 1640 on the S&P 500 Index I would consider changing that opinion to look for more of a bounce. And below this morning’s lows of 1627 I would expect trapped dip-buyers to scramble and lead to a sharp move lower.
LOCK continues to consolidate as a decent long idea, on top of some energy stocks we are looking at inside 12631.
What are you trading this morning?
Watching the relative weakness in transports…specifically $CSX for a short opportunity.
Nice look, Sean. Thanks.