Good evening StockBandits!
The major averages added slight gains on top of their recent runs today, finishing at new highs once again and just slightly off their best levels of the session. Intraday momentum was hard to come by though, with early and late strength sandwiching several hours of mid-day indecision. Volume remained strong, aided by heavy earnings-related activity in stocks like MSFT & RIMM (both of which reported after the bell).
Eyeing the daily charts, we see that this market clearly has exhibited strength of late, but also is due for some rest most likely sooner than later. Whether that comes in the form of an actual pullback or we simply see stocks mark time by moving laterally remains to be seen. Regardless, the indexes are looking a bit stretched here in the short-term, which makes new buys difficult to make here for anything but intraday plays.
I’m interested to see how a rest and/or pullback gets treated once it does arrive. I suspect that we’ll see shorts eager to cover and bulls who have felt left-behind also anxious to buy. That could keep an underlying bid beneath this market in the days ahead, even if the upside pace slows. Stated otherwise, the trend is up and there’s no reason to fight it. Just be careful not to chase it here.
I’ll cover my game plan for tomorrow in the video, and as always, feel free to share your own thoughts, trade ideas, and questions down below in the comments section.
Here is tonight’s video:
The Bandit Broadcast Video – Click to Watch!
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Video Stocks Discussed: CTRP, NTAP, EL, ROVI, HOG
Swing Trading Candidates:
NONE TONIGHT
[table “33” not found /]The Hit List is a separate post which contains discussion on open positions and swing trade stops and targets, so be sure to check it for further details on swing trades.
