Thursday, April 16, 2009
I am not ready to jump on the bear wagon yet. Right when the mixed breadth starts to look like it will turn negative, another sector comes up a picks up the slack. Financials took a breather today but transports/ utilities were strong. In general, there is too much solid volume to be aggressively short here, and actually if XLF hits the lower trendline on non-threatening volume, for a high-risk, but high-reward play, there might be another breakout coming to the 12-12.5 region in XLF.