If you are long, you really can't, or rather shouldn't, complain about today. The market can't just keep on going straight up and what we got today was some ol' fashioned consolidation. The market closed above the important support levels, so no damage done to the charts. For a while it seemed the market will finish green, but with GDP data out in the pre market tomorrow morning, the profit taking seen in the last one hour should come as no surprise. The important support and resistance levels are given in the posts linked below.
Personally speaking, I decided to continue with the profit taking strategy that I had adopted yesterday. I sold my BVN position, the gold miner, at 44.95 for a gain of 5%. NR was sold at 7.40 for 5.6% gain. The action in solar stocks in morning was unbelievable. As the regular readers of this blog know, I have been bullish on solar stocks pretty much this entire month. That said, the morning action in solar stocks was surprising even to me, not that I am complaining! I sold half of my SOLF position at 13.10 for a gain of around 7%. It was just one of those days, which sadly doesn't happen very often, when I felt really in tune with the markets. I also got into PAL at 4.07.
I hope you readers have been collecting profits too! No matter how bullish one is on the markets, nobody ever got broke collecting profits. I would rather leave money on the table than see all my profits disappear. Been there, done that (on both) and the latter hurts more.
I will be back with the Chart of the Day and also a post on solar stocks.
Take care and good luck!