The trend continues | stockbee


The trend continues

  • We continue to be in a down move and there have been days without counter trend bounce. The oversold market is so weak that it can not put together a tradable rally. The selling is slow and not panicky. Last week  for a day it looked like some panic is setting in but the reversal on Friday in final hours ensured that there will be not much panic.
  • The Market Monitor primary indicator (25% plus in a quarter) is currently at 540. For it to reach 200 it might take more than next week. So going long is a risky proposition as of now.
  • The sectors currently holding up well are:
    • MG113,Agricultural Chemicals
      MG352,Tobacco Products - Other
      MG732,Discount - Variety Stores
      MG738,Auto Parts Stores
      MG741,Sporting Goods Stores
      MG745,Auto Dealerships
      MG826,Healthcare Information Service
      MG834,Semiconductor-Integrated Cir
      MG852,Internet Information Providers
  • Sectors currently in downtrend are:
    • MG328,Office Supplies
    • MG417,Regional-Pacific Banks
    • MG425,Credit Services
    • MG431,Life Insurance
    • MG444,Reit-Hotel/Motel
    • MG447,Reit-Retail
    • MG523,Health Care Plans
    • MG629,Textile Manufacturing
    • MG633,Lumber / Wood Production
    • MG712,Resorts & Casinos
    • MG771,Major Airlines

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