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Daily Market Comments - April 2011

4/20 -Stock market Comments

The Dow formed a bullish Harami signal right on the 50 day moving average. Today's premarket futures reveal the indexes moving well above that resistance levels. Short positions should be covered if they are showing excessive strength. Be prepared to buy strong chart positions and use the resistance levels now as support levels. A positive open is obviously going to confirm the bullish Harami. 

4/19 -Stock market Comments

 The hard selloff yesterday was more evidence the T-line was acting as a resistance level. Consider this market in a downtrend until stochastics get into the oversold condition and a buy signal appears. Stay predominantly short but charts are showing some strong bullish situations.

4/14 - Stock market Comments

 The formation of a Doji in the Dow, NASDAQ, and S&P 500 makes today's trading relatively simple. The markets will move in the direction of how they open today. Keep in mind, and uptrending market will see selling in the morning and buying in the afternoon. A down trending market would do the opposite. Yesterday's positive open was typical. Remain short until a strong buy signal appears.

4/13 - Stock market Comments

 Today's positive open in the markets has to be watched with some skepticism. Investor sentiment is fairly well documented in the selling of the markets over the past few days. The current downtrend requires a substantial signal to indicate the selling had stopped. Be careful of bounces in a downtrend just as pullbacks had to be watched during the previous uptrend.

4/12 - Stock market Comments

 The indexes continue to butt their heads on the recent highs of late February or early March. Each trading day showed indecisive trading, Doji's. Today's weakness in the markets indicate the lack of bullish conviction to push through those highs. Both the Dow and the NASDAQ have experienced a series of Doji'sover the past two weeks of trading. The weakness in today's premarket futures should warrant closing out long positions that do not have compelling charts and adding short positions to the portfolio.

4/11 Stock market Comments

 The Dow show strength on the close Friday unlike the NASDAQ and the S&P 500 index. They all closed above the T line but just barely. Although today's premarket futures indicate a little bit of strength, we need to see strength in the markets going into the close today. Otherwise, the previous high resistance level  in early March may be back in affect .

4/6 - Stock market Comments

The Dow formed a Doji Tuesday right at the resistance level. It needed a positive open Wednesday to demonstrate the resistance level is not going to be in effect. Wednesday's premarket futures illustrate a strong open. This will be breaking markets into new high territory. Continue to hold longs with a smattering of shorts in the portfolio.

4/5 - Stock Market Comments

 Although the Dow traded positive Monday, the NASDAQ and the S&P 500 showed some weakness. The steady uptrend in this market is due for some profit-taking .the profit-taking may only be a short-lived process but it should allow closing some positions and investigating the next round of bullish situations.


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