The Wrap 1/27/11

{+++} Follow through days  have been a real bitch lately. I speak of oil which I am heavily weighted , yet after yesterdays spectacular performance in some individual names, but specifically OIH, they were weak today as crude went lower. The market still feels very heavy to me, but it could just be a churning process before it takes on new highs. There is one thing for sure, the market wont ring a bell at the top and it will probably happen when you least expect it. There is a reason why the P&L is as small as it is lately. So please be careful and don’t take gains for granted. They could become more precious soon. Please realize, we can correct and still continue this great bull run, it will be a healthy occurrence when it gets here. Gold is imploding as fear seems to be leaving the building, which makes me short term cautious. For now, lets not fight the trend, but stay smart.

Tomorrow we see fourth quarter GDP at 8:31 and Michigan Consumer Confidence at 9:55

I am putting REDF back on the list tonight. It was a nice money maker for us this month and it is forming a nice wedge and has pulled back in an orderly fashion.. This isn’t a breakout play, so please use the range that I recommend. This flu bug is killing me again, but I will be at the screens early. Have a great night.

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