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Down Up Down

The market is forming a small range here. Technology is the new leadership theme for market and when the market correction is over the sector would be ideally placed for rally. The biggest area of concern is small caps. The speculative favorites are the ones which are showing weakness. That is on of the reason the 65 days ratio is stuck in negative territory.

In the short term the low volume holiday environment is bullish and with one of the indicator (stocks up 50% plus in month at 2) showing possible strength around, we will likely see strength. The market is ideal environment for day traders and short term traders. Nimbleness is the key.

With Nasdaq showing strength the post holiday action might offer some opportunities for light commitments in technology sector. Number of stocks in the sector are showing relative strength, but again most of them are in the large cap technology area. However if the overall market gets in to downswing, much of this pocket of momentum in technology sector will not be able to sustain its up move.
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Swinging Market

The difficulty of trading a highly volatile and low volume move is demonstrated by last two days action. Market is swinging from one extreme...

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Buyer Strike

There is absolutely no reason to buy at yesterdays level. The buyers who bought the bounce weeks ago in fact had incentive to sell in to Fri...

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Excitable gloom-mongers and Apocalypse

Gerard Baker in TimesOnline sums up nicely the last months action: Was that it? Can it really be that the violent storm that broke over f...

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Low volume pullback

Market continues to be in confirmed correction phase as per 65 days ratio. Market had a pullback on extremely light volume. With most market...

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Market Monitor

Market had a surprisingly strong action on Friday. This week is holiday shortened week plus last week of summer, so thin volume will likely ...

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Pullback time

Last week panic buy set up is now witnessing profit taking. As we continue to be in confirmed downtrend as per 65 day bull-bear ratio, ralli...

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Quantitative funds rebound

When the market hit turbulence, the quant funds lost money. Immediate reaction from clueless perma bears and everyone else was to pile on an...

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Rebound continues

The market is witnessing a textbook rebound after the last weeks panic and weakness. Yesterday was second 300 plus breakout day post the reb...

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Stability zone

After reaching extreme levels of panic few days ago, in last two trading session there is a bit of stabilization. The move post Fed action w...

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Shorts Nightmare

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A textbook bounce

When panic takes over market and people start to lose their nerves, invariably the situation resolves to the upside in the short run. That i...

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Stage set for a bounce

Few days of selling and panic has set up this market for a bounce in a near term time frame. Such bounce will be a oversold reflex bounce. S...

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Low volume

While the selling was widespread yesterday the volume was much lower. The 65 days ratio continues to be in negative territory. Volatility st...

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Economic Prosperity and Crime Rate

The Mumbai SENSEX is not the only thing going up out here in India. One side effect of the economic boom in India is dramatic rise in crime ...

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Volatility and noise

Market continues to be volatile and the 65 days ratio continues to be firmly in negative territory. While the volatility continues the marke...

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Search For Stocks With Fattest Profit Growth

Today Investor's Business Daily has a piece on stock selection and importance of earnings and earnings acceleration in stock selection ...

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More Volatility

Downside moves are always more volatile. Volatile behaviors is even more pronounced during turns. Clustered wide range days are very common ...

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Crazy action

Last night when I went to bed it was around 1 PM in USA and I was looking at some really crazy numbers on all scans(India is around 10 hours...

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A powerful surge

As of now there are 110 stocks in the Episodic Pivots scan. If this strength holds by end of day, you are looking at a very powerful surge. ...