Weekend Summary
Dear Member:
Each of the major averages was up for the week and was up on Friday. The weekly volume for each was a little below average. I would like to see a bullish confirmation with a big day up on high volume and that really hasn't happened yet. Meanwhile, the indices move up. The real question is whether this is another false rally and the lack of supporting volume gives some credence to that thinking. However, I am aware that it is summer vacation time when many traders are on vacation so the lack of supportive volume may be less significant than it seems. I did make a very successful short term bullish play in Trend Trader this week and that is the first time in almost 3 weeks that I had sent an alert in that service.
I was happy to close another winning trade with Siliconware Precision (SPIL) where I saw a before commission gain of 7% in only 8 days. I expect to see more like this or better if the market has, indeed, turned back up.
It looks like Denny's (DENN) slide finally may be at an end. Mindspeed (MSPD) has been suffering along with the semi-conductors. They, too, have shown signs of turning the corner.
On the brighter to much brighter side, EuroZinc (EZM) is staying above the 50 day moving average and Stemcells (STEM) has been steadily moving up along the trend line. Commontouch Software (CTCH) has been forming a solid appearing base and Emcore (EMKR) is moving laterally along support.
Overall, I am slightly more optimistic than I have been for some time. Though we could be experiencing a false rally again, a break through resistance by the major indices this coming week could signal a true change in direction.
Thank you for subscribing and have a great weekend.
Bill
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