{+++} More chop today. This is either the bulls consolidating for the big move up, or just general buying exhaustion ( light volume) that is giving us this sideways action. We’ll see where we go the next two days.
We are seeing some mini sector rotations in the market. For example, the fertilizer stocks are hot again: AGU, CF, POT and MOS. So money is coming back in that sector.
We’re seeing weakness in coal and steel, and tech has just been going sideways. The financials aren’t doing much in here, and are basically going sideways too. When the big holders in that sector start taking some profits (sector is up big), then that may be a signal that we are ready to sell off a bit. Again, if (when) we do sell off, I don’t expect more than 3-5% down. There will be buyers at 1320 then 1300. Probably big buyers, unless all of Europe decides to implode again at the same time.
KEG triggered today and ORIG came very close to triggering late in the day, I was tempted to get long, but saw that earnings were after the close and I didn’t want to get in front of that potential risk event. If the stock opens reasonably, I will consider getting long tomorrow. I will let you know.
Other than that its been choppy and sideways.
Hope you had a good day and I will see you in the morning.