Sunday, August 23, 2009

Some Weekend Thoughts

Hi, traders. Sorry for the late post but it was quite the busy and tiring weekend with some projects around the house along with two bad little boys around my house that felt the need to make their parents' lives very difficult today. Anyway, I was going to do a video but after going through my scans, I still really don't see too many charts setting up that I am excited about, so my basic outlook remains the same. The market broke to new highs on Friday and I am not going to stubbornly fight it - that means no shorting for me (although a big gap up on Monday would certainly be tempting).

I will continue to take longs if they come and I like the setup, but something (call it a gut feeling) has me holding back a great deal on the long side at the juncture. I still see several divergences going on that could be setting up a disappointing end to the month for many bulls. It could be, however, that the pullback/reversal I am sensing will not happen until September and maybe just won't happen at all and we'll continue to move higher and higher. I've been wrong many times so far during this crazy year, so it won't be the first time. That's why I am not shorting this thing yet - I would just be guessing and gambling and that's not real smart. I just don't think going aggressively long here is a good idea either.

If you need some names to watch, here are the ones on my watchlist for the upcoming week. There aren't nearly as many as usual and that is one reason I am tentative here.

PCAP, COLB, CVGI, ETM, CNXT, CTSH, EGOV, LOPE, LNN, HMA

If you have any questions on any of those, feel free to email me or leave your question in the comments section. I have a busy week ahead with a doctor appointment and a return to my regular work schedule, but I will be around on Twitter and here at the blog. Take care and best of luck during the upcoming week.

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