Tuesday, June 28, 2011

Hmm… A Change of Market Pace?

imageYes, the rally is on low volume.  Yes, it’s the end of the quarter (window dressing) and approaching end of month (paychecks invested into 401k plans).  But, the market did hold the 200dma and we were very close to a double-bottom (March lows).

So, is this the trading range?  I’ve been writing for awhile that I thought we’d retest the March lows and that the summer correction would be a frustrating trading range between the highs and the March lows.  Now we have a double-bottom potentially in. Is this it?  Or will the brief rally we’ve had peter out?

The SPY 50dma is at 131.89.  That may be the number to watch.

Still long in the SPY trade, some low-beta stuff, oil, and some cash.  My thought is that the correction isn’t over, yet.


Worn out.

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