..now just repeat
Thursday, January 27, 2011 at 07:52AM
Demi/ YourPersonalTrader in FNET, JNPR, KEYN, MSTR, NVDA, RHT

As if on cue (DJIM's ;), despite a very ordinary flat open,  the market roared soon afterwards for the first hour…”we may have some follow through with risk assets (commodity linked stocks, growth stocks) playing some catch up.”. After days of underperformance, it was the RUT~2%, not the DJIA that pushed the market to SPX 1300 as ‘ dead cat bounces’ just discussed in our ‘momentum and commodities' section updates ensued.  Rotation occurred as the materials/ tech(momo) led the way.   All in,  the RUT excelled, but this is only a dead cat bounce until it at least makes it back into the Sept – Jan channel (closed at ‘R’).   The NAZ faces the same 'R' in its chart and both are hovering around 20ma.  It was nice to see short covering (mostly) in the first hour come into ‘indvidual stocks’,  but the lack of conviction for further gains is still evident as the market flaltlines rest of the day.  On the SPX look to 1307’ish for “R”, not 1300 as an Initial claims under 400k should spur a move.

Shadowlist

Article originally appeared on Your Personal Trader (http://www.yourpersonaltrader.com/).
See website for complete article licensing information.