I expected the market to be down this week, but when the Nasdaq broke up through 1800, I was forced to reconsider. 1800 had been a major resistance line on the upside. I still hesitated until yesterday,but then I made a purchase and sold it today.
I read a post that said the big cap stocks are where the
bulk of the buying is occurring, including the techs.
I think we will see a slide to the down side as the Fed meeting
approaches next Tuesday.(even though nobody expects any
changes). Whichever way the market moves after that meeting
will set the trend for the first half of July. If July is strong, then
August will probably be a profit taking month as everyone goes
on vacation. September could be another rally, and then watch out
for October.
Here is the large cap comment:
Look at HFX if you want to see
where the money is going. HFX trades on PHLX and is the 5
largest cap stocks T,KO,XON,GE,MO and has made a new high.
The NDX is close to a new high and is the 100 largest cap
weighted largest OTC where 53% are csco,dell,msft,intc, wcom.
The hot money is going in these stocks. When you get to the
middle and lower eschelon where Mr. Jones typically resides
they're bullet riddled. Stay large cap.
Message 4990742 |
