Chalk up the fourth day of Distribution in the last four weeks for the S&P 500.
Sell-volume dominance suggests institutions are unloading.
As long as that’s in style we also want to be sellers.
Today we added Apple, Inc. (AAPL) to our shorts.
The fact the stock had record earnings and is receiving unbelievable hype over its latest gadget gives us reason to believe it’s hit a highpoint.
Not much action Monday.
As the market awaits earnings season we have little in the way of technical indicators to lean our bias one way or another.
One thing we’re certainly on the lookout for is a blow-off top.
Today’s gap up almost looked like it would fit the bill. But not really.
Continued heavy buying interest gives us the impression we may ultimately see a massive upside move, also known as a blow-off-top, before this bull leg pulls back.
It may have been a sleepy day for the indexes.
But don’t read too much into what it might mean.
As an intermediate-term trader your focus should be on the bigger picture.
The bull is intact. Breakouts are holding.
Weekly research to be published by us this weekend will highlight individual opportunities…
More accumulation for the S&P 500.
While usually a sign that institutions are loading up, high volume is also common at the ends of trends.
Distribution was evident on the Semiconductors Index ($SOX). So let’s just watch this play out this first week of trading in the New Year before taking a bias.
The Bull was its typical (recent) self in 2010’s first day of trading.
Heavy buying. But it’s too random to know if it’s a theme from institutional-grade traders.