Frothy sectors witness profit taking

In recent days market had become a bit frothy with some sector stocks like solar and energy having back to back 4-5 days rallies. So a correction in some of those sector was a possibility as profit taking kicks in.
When a move gets going for few days like we witnessed in last 5-6 days, those who did not participate in it, or were positioned for it, at some stage feel the desperate urge to participate. which often tends to be the point of short term reversal.
A small period of rally also leads to couple of trades working for a trader and that often leads to overconfidence. Mr. Market then quickly throws in a punch or two to remind who is the boss.
From a trade mechanic's point of view, when faced with a unexpected strength like we witnessed yesterday morning, your first instinct should be to lighten up in strength. Stops work poorly in fast markets.
As a general observation fast trends tend to climax, slow orderly trends tend to persist.

Stocks from top 20 sector showing buy interest
BCON,Beacon Power Corp (Google Yahoo Earnings Chart)
DVR,Cal Dive Intl Inc (Google Yahoo Earnings Chart)
FDG,Fording Canadian Coal Trust (Google Yahoo Earnings Chart)
GHM,Graham Corp (Google Yahoo Earnings Chart)
GRA,W.R. Grace & Co (Google Yahoo Earnings Chart)
JRCC,James River Coal Company (Google Yahoo Earnings Chart)
NOG,Northern Oil and Gas (Google Yahoo Earnings Chart)
NRP,Natural Resource Partners (Google Yahoo Earnings Chart)
PBT,Permian Basin Royalty Tr (Google Yahoo Earnings Chart)
PCX,Patriot Coal Corp (Google Yahoo Earnings Chart)
QTWW,Quantum Fuel Sys Techworldwide (Google Yahoo Earnings Chart)
REXX,Rex Energy Corp (Google Yahoo Earnings Chart)
SLT,Sterlite Industries (Google Yahoo Earnings Chart)
SPIR,Spire Corp (Google Yahoo Earnings Chart)
STLD,Steel Dynamics Inc (Google Yahoo Earnings Chart)
SUTR,Sutor Technology Group (Google Yahoo Earnings Chart)
WEL,Boots & Coots Intl Well (Google Yahoo Earnings Chart)
WLK,Westlake Chemical Corp (Google Yahoo Earnings Chart)

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