It was a quite lackluster day with light volume to go along with it. The SPY traded in a tight .84 range. A weaker dollar lead to buying in the commodity names and the bond market continues to be under pressure.


We are still pinned between the 20 day MA (115.47) and the recent highs (118.10) until that changes I expect more of this kind of action. Case-Shiller HPI tomorrow before the open and consumer confidence at 10:00, I doubt these will be market moving.

I often stress the importance of the major moving averages (20, 50,150,200). They can be excellent places to buy on a pull back or make sales. Two outstanding examples of this happened today. GS came vertically into the 20 day MA today on light volume and no news. He bounced right off of it and closed at the high of the day. The other was in GLD. GLD traded in a very tight range today pinned between the 20 and 50 day MA’s reversing at both of them. The MA’s are important and you should know where they especially in on quiet days like today.

I have included breakouts both long and short and one reversal/pullback.

adsk 30 long

vmw 55 long

wlt 94 long

vale 32 long

ma 252 long

sohu 56 long

amzn 137 long

nue 46.5 long

fnsr 16 long

foe 9 long

gww 110 long

nflx 75 long

sid 40 long

rht 27.9 reversal pullback buy on 200 day MA

mon 70 short

ntes 36 short

aem 54 short