[Weekend Summary]
Dear Member:
A very tough week for the bulls. Looking at the weekly charts, the Nasdaq was down 92 and closed just slightly below support on a bit weaker volume. The Dow Industrials were down 351 to the weekly price support and to a weekly trend support. Weekly volume was down on the SP-500 and it fell almost 30 but to the area of support.
Looking at the daily charts today, the "Naz" was down on high volume and the Dow Industrials fell to support on just above average volume. The SP-500 also dropped to a level of support on high volume.
Nothing has yet signalled a reversal up yet. There has not been a classic capitulation so the message is mixed even if it leans to the bearish side. Until the market signals a turn I am not ready to leap into bullish mode.
That having been said, I got out of Waste Management (WMI) today after a gap down below support and took my lumps. If it turns back up, of course I can get back in, but for now I'm glad to take the loss. It's not that I like losses, it's just that I know the only way to succeed is to cut them and go on from there. At least I did get a dividend before I bailed.
Meanwhile, Nuveen Senior Income Fund (NSL) continues to provide income and remains in a gentle uptrend.
JOBS is still in the game as it moves along a price support. My guess is that it will be heavily influenced by what the markets do. For now, I'm holding my position.
The old saying "patience is a virtue" definitely applies to bullish traders right now. Trend Trader is definitely a bullish oriented subscription so there will be times like these when trading is light. Option Trader, on the other hand, plays either direction and had some success over the past week. That doesn't mean anyone should change, it is just a fact of trading that the bulls aren't always in control.
Have a great weekend and thank you for subscribing. I hope it expands your knowledge.
Bill
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