Friday, August 28, 2009

Stocks Preparing for Next Move

At first glance, it doesn't look like this correction (my correction) will last longer then another 2 weeks. There are some new potential leaders that cropped up and many current leaders have pulled back anywhere from 3 - 5 weeks to their 20 or 50dma's. There aren't too many extended leaders, but enough to create a psychological drag if they correct, which they most likely will.

This list needs several iterations. I just see too much possibility right now.

I say next week is down and possibly right after labor day. Which would be a real good shakeout. But we need to be ready if market has other plans.
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