We gapped up to the old highs this morning based on a better than expected GDP report. I don’t trust these type of gaps after we’ve already had a strong move. They smack of exhaustion to me. Yeah, I know the news is good, but my warning flags are raised, as are my stops. Let’s [...]

I’m glad I decided to stay on the sidelines today. Most of the stocks on my buy list closed very near or below where I would have bought them. What started off looking like a strong up day turned into a very choppy, go nowhere kind of day. Now I like my potential longs even [...]

The indices did indeed bounce off of their 50-day moving averages on Friday, making hammers in the process. (imagine that!) I suspect that a lot of the last hour buying was shorts taking their profits & running. Based on the action of the indices I was expecting to come up with a long list of [...]

The major indices are all hovering near their 50-day moving averages. That heavily watched average is where a lot of traders will likely take action. We’re also in oversold territory, based on my stochastic indicator. As I see it, this is a good risk/reward area to start buying. Of course, I’ll be waiting for some [...]