Lots Of Potential Reversal Candles And Indecision

by Olivier on June 21, 2010

Haven’t got that much to say tonight. There’s nothing really worth mentioning as the market is still not giving clear signals to get aggressive and go crazy with position sizes. I see lots of indecision out there and traders watching for setups to develop with the leading stocks. Going through my public list I see lots of potential reversal candles. Too early to tell though. The name of the game is still the same: Watch the strong stocks. If they can hold up well during market pullbacks, that’s constructive technical action. Then, odds for decent upside potential is still there. On the negative side, NFLX – Netflix one of the best performers as of late possibly displayed first signs of traders cashing in.

For now I am simply watching what my two pilot positions, that are supposed to test the waters, are doing. So far not much happening. They tell me to patiently wait before getting more aggressive. Until they can break out to the upside I am not willing to commit additional funds to the long side.

Gold, silver and precious metal related stocks got sold today. No surprise here, my GDX – Market Vectors Gold Miner ETF chart analysis on Friday was showing serious signs of exhaustion. Let’s see how resilient the precious metal sector will be during the next few trading sessions.

The difficulty is to try and teach the multitude that something can be true and untrue at the same time. – Arthur Schopenhauer

My public list with all my charts can be viewed here:

Buenas noches!

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