Update 2: All cash, until market finds a direction.
Update 3: Bearish news for Commodities. Crude inventories up
Update 4: Tired out playing both sides of the market. What a roller coaster...;)
In my previous post, I mentioned that something is gonna happen on next Monday. The picture is going to be clearer on Friday, if stochastics stays overbought most likely we will get a pullback by Monday.
Tomorrow we shall see if this rally can follow through.
I will be on the lookout for BNI, IBM, AAPL, JPM to perform at least until Friday.
JPM had a good run today, I am curious to see if JPM can push past 25 with conviction. Kindly be reminded that this stock is still stuck in a down channel.
SPX is currently in overbought territory, I am keeping an eye on 856 as potential resistance.
Euro remains in a downtrend, this is bad for commodities and stocks. So don't let your guard down just because we have a nice rally today.
Don't get me wrong, I am not writing off any continuation of this rally. Just be aware of those potential resistances.
On a positive note, I am taking note of share purchases made by executives of JPM, BAC. I think most of the financial stocks are quite ready to rally with the exception of WFC that has earnings due at the end of the month.
BUY ON DIPS:
Financials - JPM, GS, BAC
Tech - AAPL
Rails - BNI, UNP
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