Very strange day for me today. Normally, I will be buying TZA giving the downdraft; but after making only lunch money even when I was “right” the last couple of time, the effort is just not worth the trouble. Instead I try to see if there is any support for the SPY to halt the correction any time soon and I think I see something.
Forgive me for being creative in my liberated use of the pitchfork. I think you are limiting yourself by focusing only on the “proper” way to use anything. Anyway, the white pitchfork helped me identify the range of support giving past price consolidating area. Thus, from the daily SPY chart below, I’m seeing support in the $140ish area.
Based on my “personal” analysis of the chart, I’m brushing off today correction as a temporary dip against the raging bull. So what do you do when you believe the bull is still waiting to gore the short? You buy something that is going up.
So, as a long-time biotech speculator, I see some bio-babies are brimming to grow up fast. So, I added to my AMRN and bought ALXA and THLD. All three show a detached indifference to the current correction by either going higher or just staying put.
Noticeably, another one I like that show the strong underlying “bull-current” is the uranium stock CCJ. Despite DOW going down 100 pts, CCJ is still up for the day. Somehow, uranium based stocks are getting back into the consciousness of the big money and I believe they are ready to run when this correction is over. As a result, I bought back DNN, ES, and URG I sold this week.
Below are some more charts for my future reference:
Below is the AMRN daily chart:
Below is the daily ALXA chart:
Below is the daily CCJ chart:
Currently, I’m 55% invested with 45% cash.
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