[Weekend Summary]
Dear Member:
The markets seem skittish if not schizophrenic at this point. The Nasdaq managed to inch up for the week and is still in the uptrend that began off the August low. The Dow and S & P 500 both lost a little ground and have daily charts that look similar over the last 2 and 1/2 months. They may each be forming a little double bottom support now, but I see an important level on the Dow at 13,500 and at 1492 on the S & P. Direction is far from clear right now so care needs to be taken and downsides protected.
Since I wrote no summary last weekend, I should mention that I was finally able to close the Palm (PALM) trade at a 4.7% gain before commission. This week Kindred Healthcare (KND) brought home the bacon with a $1.31 a share (+6.9%) gain before commission in 12 days.
I have remained in my "hedge" position in QID, the ProShares UltraShort QQQ ETF as an attempt to protect part of my overall portfolio from a serious downdraft in the market. Thursday's action looked like it might have been the beginning of a major retracement, but the markets held on today so direction remains undecided in my view.
Ceragon (CRNT) has remained in an uptrend and, interestingly, has formed an ascending triangle. A break through the price resistance could be very positive.
Evergreen Income Adv Fd (EAD) continues to do what it is designed to do -- pay regular income at a healthy level.
I intend to be extremely selective about new entries as I watch to see whether the market confirms a continuation of the bullish move or gives up some of the gains.
Have a great weekend. We'll be heading to our winter grounds this weekend and will be back in business by Monday's open.
Bill
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