We hit at an all time in the $SPX today ($SPY barely missed it). A ton of people have been trying to fight this trend, I have yet to determine why this is but it is true.. people love to short rallies and buy downtrends. Always amazes me but nevertheless, I think another day of consolidation would be even better and IF we get this I will likely “load the boat” long as a swing trade for the next run higher (because I do not pick tops). However, if that does not happen (meaning no consolidation day), I will likely not do anything and will wait for a the first pullback to the MAs to buy. That is my plan – do you have one?
Apple ($AAPL) as we talked about yesterday, Apple has had a character change and right now I think we COULD have seen a longer term bottom in it. Maybe not the all time low for it but for now, I think if the long term guys want to step in, it would be fine now. This is only if you truly have conviction with this company though – for me it is still in a overall downtrend but looking a lot better.
Google($GOOG) we talked about a couple days ago and said how it looked like it wanted higher. We saw that today, now it could use some rest and may be a little extended for swing traders now. Still strong and not something to short.
Amazon ($AMZN) the character change it went through after earnings is still controlling it. As long as $AMZN holds below $260, downside should come. Not a leader anymore buy any means.
Banks ($XLF) not really as strong as you would like to see them today but overall not bad and may just need another day to rest. Sorry to see them not AS MUCH though.
Overall, DO NOT FIGHT THE TREND. The trend will end when there is no one else to fight it – don’t let it be you who is last!