Tuesday, September 14, 2010

Take your pick

A good day either way, whether you are bullish or bearish. If you are bearish, the bulls were not able to break through the top of the trading range that the market finds itself in in the last few months. Personally, I am leaning bullish as I am willing to give bulls a chance until the charts tell me to give up on them. In yesterday's post, we saw that the markets are overbought. Now, there are basically two ways the market can work off overbought conditions - a sharp pullback or a period of consolidation and today counts as the latter. A period of low volume consolidation would do the bulls no harm as I don't believe they would be able to hold on to 1130 anyway if they break it from overbought conditions.

I won't show the S&P and Nasdaq charts today as they have hardly changed since yesterday. 1130 on S&P and 2325 on Nasdaq remain the levels to watch out for.

Personally speaking, I got into SOLF at 12.05 and that seemed like a nice entry as it made an intraday high of 12.46. However, it ended at a disappointing 11.93. If it continues in the same way, I will get stopped out of it tomorrow. I also sold LDK at 8.19 for 2.37% gain.

Take care and good luck!

No comments: