Wednesday, February 16, 2011

State of the Stock Market - 2/16/11 - "So Much for the Pullback"

One day was all we got for the pullback I guess, as today Wall Street put in another positive session.  The Nasdaq and S&P were both up decent amounts and both finished at new highs for the year again today.  Volume was heavier as well.   Like my title says, "so much for the pullback." 

Technically, I do still believe we have a sharp, one or two day pullback coming soon but I've been wrong for this week on that matter so my thoughts probably aren't that important right now.  This market continues to defy gravity and as long as it does, you want to be at least somewhat long in terms of positions.   There is nothing wrong with taking profits as you go and moving your stops up as your stocks move higher, but there is certainly no reason to be shorting right now.   I will continue to watch short-term support and much like the move from September to mid-November and from December to mid-January, as long as it holds, you should remain bullish.  

I made a few trades today - one early and two late.   I was stopped out of my QLIK position today at $25.49 for a gain of 5%.  This position was entered at $24.19 last Thursday.   I really set my stop too tight on this but I am not that upset.   After seeing it gap up, I decided to tighten it and it ended up being hit.   I also entered two stocks at the end of the session based on pocket pivot signals - one was earnings-based and one was news-related, but both had hopefully the start of bigger moves today.  I am still holding the LDK position and will look for others, although I am still not super aggressive here.

I will try to share some ideas later tonight on Twitter as my time allows, so look for those charts if you're interested.   Who knows how long this current move will last, but as of today it seems like it wants to last longer, so there is no reason to fight it.  Good luck Thursday.

1 comment:

marc said...

What names did u enter at the end of the day today? thanx for all the work. CRAY looks good after their earnings here and ACIW also had nice reation to earnings yesterday. SIRO i picked up today and looks higher