Total market volume remains at very low levels. Advances in the market are not on any specific news or event. On the contrary, mostly bad news this morning. Federal Express, which lowered even further their earnings guidance traded up after its initial gap down this morning. The market is desperate to keep reaching for higher highs, but the lower volume is the devil in the details.
I am holding shorts on the SDS, DXD, TWM, and AAPL.
IF you are currently NOT holding any short positions, then wait until this evening when I update the charts for identification of any changes for entry. If you are holding shorts currently, we are still comfortable with holding them at this time. This market advance is very UN-convincing at this time.
1 Comments
May 12th, 2008 at 4:43 pm
Chuck -
You mentioned that you bought SDS and DXD. If you have time, can you do a chart for your readers on SDS and DXD and explain what you found in the technicals for these that triggered a “buy”? Maybe some trend lines and a stop loss as well.
Thanks,