TAPE has been struggling lately, not as clearcut as before. Dow & S&P 500 @ all time high but Nasdaq and Russell are not ?
VIX is near 52 wk low which is not healthy for the market.
Bulls are @ historic high, which is a tell tale of complacency and sign of imminent pullback.
SOX has gone wild, the most healthy of all indicators.....could this be the sign of a top ?
S&P 500 @ 2075.37.......2100 has to wait......
It is important to know "when to hold & when to fold"
I am expecting "volatility" to take hold
Look @ your "risk / reward"....it may not be all that good....
It may be a time to buy put on "runaway stocks".....there are many, look @ 52 wk high list...
Couple of weeks may be "troublesome" for TAPE
Ensure that you can withstand fast pullback......
Stay in not so hot stocks, but hot hot hot one needs to be sold or put bought to protect your gains.
I expect Gold & Oil stocks to be back from dead.....
Contrary play may work out OK.....
Some technicians are pointing out 2nd week of December as the best week, i will use that to sell some of my position & buy laggard.....
All in all , there is less than 3 weeks left in this year trading, use this time to lock gains and be ready for 2015 portfolio.
By end of December, we may have a much better buying opportunity.
Good luck with your own strategy.
BLOG does NOT give buy or sell.
Saleem
8 comments:
Hey Saleem,
We had another out-of-town weekend for a family celebration. Although fun, it is good to be home finally for a while now.
It was another positive week for the portfolio gaining 1.56% versus the S&P's +0.38% thanks to nice moves in TASR (+11.3% upon sale), AAL (+5.1%) and GS (+3.7%). I sold some both big winners and underperformers to move into stocks at breakout points--we'll see if this works so close to the end of the year.
I also think this week could be nice, but I am also looking to trim ahead of expiration next week. We are nearing the very slow period where it is tough to make any significant moves, and might especially be the case this year.
Stocktrader
Hi Stocktrader,
Nice outperformance by your portfolio.
TAPE looks weak @ open.
Saleem
Hey Saleem,
Sold AAL @ 50.699.
Traffic numbers were awful. We'll have to see more about how the quarter shakes out with the low jet fuel prices.
Stocktrader
Hi Stocktrader,
What caused the traffic to fall for AAL?
Saleem
Hey Saleem,
Not sure. I've heard service has declined recently, but hard to really tell if people saying that are legitimate. This may indicate they are telling the truth to some degree.
Stocktrader
Hey Saleem,
Something serious is happening at HUN. More big options today, and now I'm seeing big blocks cross. I'm glad to be involved--this much institutional activity tells me downside is limited...
Stocktrader
Hey Saleem,
Added to HUN @ 25.64.
I'm not sure I've ever seen a setup like this happen in front of my eyes. I took the opportunity to add a little more looking for that breakout.
Stocktrader
Hi Stocktrader,
Good luck with HUN.
Saleem
Post a Comment