Thursday's action just added to the imbalances, subdued action we've been complaining about since Tuesday. Adding to this boring action was a spark to the multinationals....blue chips.. Sorry, but a Big Mac in a GM is not our game, so we are left watching this grinding action amongst the small caps we've traded so often. We've basically packed it in ahead of the weekend, maybe the Fed meeting. The only thing we are doing is being patient and not trading for the sake of trading. The time will come soon enough that plays, set ups, emerge and you'll be happy you did not enter or chase this week. As we discussed yesterday, we are not going after what looks like a break intraday. Instead, we are waiting to the last half hour to see if what had potential midday has it at the close. Time after time, what you might have thought was a possible good idea intraday turns out to be a stinker at the close. Just too many head fakes, false breakouts out there and more than a few of them are listed on the forum.
Our queasy feeling from Tuesday's action was nothing more than caution and it has saved us a few dollars in the past few days and still might more. The shippers...DRYS, TBSI have dry docked...the solars are not so bright...LDK, FSLR giving up 7-8 pts in one day off an upgrade....and the Chinese stocks are not living up to the Shang.......VMW has never seen the heights reached since the first hour back on Tuesday.....Preserving the cash is just as important as ringing the register...you can't ring it later if you're not preserving it at one time or another during the trading year. This is one week it's been called for.....live with it as we are...Don't stretch a play in your mind into something it is not capable of being this week!
L' Shana Tova!