Inaction in Washington took a serious toll in markets.......

Market is "not loving" media circus which has taken hold in Washington. NBC is parked inside Capitol Hill.....

Dow & S&P 500 went below 50 DMA in higher volume.

Internals of the market were as follows :

Down volume led by 17.10 to 1 in NYSE & 11.59 to 1 in Nasdaq

Declining stocks led by 10.66 to 1 in NYSE & 6.27 to 1 in Nasdaq

New 52 wk low were in the lead, 102 in NYSE & 81 in Nasdaq

VIX was UP 13.59% @ 22.98, a 4 month high....

The above stat is a sign of capitulation, we may be very close to turning UP

Market is a discounting mechanism, we may have discounted all the drama which may last until the wee hour into Aug 2nd.

US govt have faced many shutdown in the past, so we may be "over-reacting" to this looming crisis.

On Aug 3rd, world will go on as usual with or without politicians coming to an agreement.

So the focus should be, on buying good growth stocks @ discounted prices.....NOW !!!!!

NO..i do not buy the hysteria being created by CNBC shouting pundit, that "sky is falling"

In my portfolio :

Sold ATML

Bought LULU @ $60.91

Portfolio is AMZN,FFIV,LULU,RVBD

I am maintaining 65% exposure in this market.

Here is the RSI in indices & stocks which i own or monitoring closely :

AMZN 66.20
FFIV 36.62
LULU 59.21
RVBD 31.63
AAPL 71.17
NFLX 46.07
PCLN 48.52
TZOO 39.11
BIDU 67.54
SINA 50.81
GOOG 67.61
CAT 40.51

S&P 500 44.82
Nasdaq 46.82
Dow 44.22

As you can see that indices are in buying range. This bickering is NOT an economic crisis, it is a US politician's "normal game"

AH ER / News were greeted as follows :

LRCX <6.18%>
AKAM <14.35%>
TQNT <20.37%>
GMCR +18.60%
WFM +3.42%

AH Futures Mixed

AH Asian markets Down

AH Oil Down

AH Gold UP

BLOG does NOT give buy or sell.

Saleem