The market internals weakened again Monday, however, not as bad on the NASDAQ as on the NYSE. The screened stock ratio slipped just into the negative range, really too close to call at 5.2 to 5.0 favoring selling, but with the FOMC meeting tomorrow, I'd estimate the risk back at HIGH.
Usually, the day of fed meeting is a positive one prior to 2:15 PM, so if you are inclined to day trade this might be okay. Remember that the market tends to be volatile right after the announcement and it is best to sell stocks close to their stops rather than letting the market take it out.
Strong groups; biotechs (however today they were weak), gaming, HMO's, software, health insurance, semiconductors and select retail.
Longs to watch: ADPT, BVF, DRIV, EDS, GDT, MYL, NUAN, PDCO, VIP and YUM.
Good Trading!!
Sam
savvy-trader.com |
