The running of the bulls | stockbee


The running of the bulls

Market Monitor

Market resumes its rally
after a pullback.
Earnings season currently on.
Focus is on Episodic Pivots

Daily# of Stocks Up >4% on high volume895Characteristic of bull market are that
they are difficult to ride.
This market is like that.
Just 10 days ago the bears were
salivating at the prospect of H&S.
That was a trap.
Since then market have gone up straight.
If you dithered or listened to bears,
you never had a opportunity to
get in at low risk.
This reminds me of 2003 all over again.
In the short run we have
unsustainable momentum so
extremely high probability of
dip in next 1 to 5 days.
But remember overbought markets
can remain overbought long time.
And tops take long to form.
Daily# of stocks down >4% on high volume 58You should get worried if we see
2 or 3 days of 500 plus
readings on this.
Primary# of stocks up >25% in a quarter2250 You should not become completely bearish on
market till the primary ratio becomes negative.
It never became negative during the correction in June.
So we benefited by buying b/o during that
period and selling those positions today
Buy dips in bull market till they stop working.

Primary# of stocks down >25% in a quarter389
Secondary#of stocks up >50% in a month30Over 20 indicating
overbought level.
A correction of 1-3
duration most probable
course in next one week.
Secondary#of stocks down >50% in a month4
Secondary#of stocks up >25% in a month296This number is not really high.
So I think the pullback is a buy opportunity
Secondary#of stocks down >25% in a month16
Primary fast MM 34/13 + 2666Good breadth on this.
Primary Fast MM 34/13 - 646

Top ten stock by Dollar Volume up 4% plus on high volumef amzn pot rimm medx isrg ebay ems celg mon

large stocks are being bought.
Money is flowing in to the market.
Top ten stocks by Dollar Volume down 4% plus on high volume mcd pnc sndk swy gr dhr bms esi hban flir

  • Coming in to today I was 170% invested, the mantra today was to sell in to the strength.
  • By afternoon I was 50% invested only.
  • Current focus is Episodic Pivots (EP) and that too earnings EP only.
  • Within that I am interested in 100% plus eps kind EP.
  • I am not taking many of the turnaround kind EP.
  • Because in next phase of bull market growth stock should dominate.
  • I am not in hit and run mentality.
  • I am trying to take larger positions and hold for 40 % plus kind of gains.

No comments: