CAUTION - Leading Stocks EXTENDED
On Tuesday, it was encouraging to see that Monday's sell-off occured on light volume and Tuesday's gains were accompanied by higher volume. However, technical indicators for major indexes are signaling caution. RSI is extended & MACD is weakening suggesting pullbacks may occur near-term. Current holdings and new purchases should apply tight stop loss limits (3 - 5%) to protect from wide swings that could develop when the market begins to pullback. Focus on stocks meeting CRITERIA.
This morning, futures are displaying a LOWER opening.
Climate is - UPTREND
(Top candidates poised for higher levels near-term).
In general, BUY within 5% of Pivot, stop-loss 7% below buy price
Michael Kors (KORS)
3D Systems (DDD)
Bank America (BAC)
American Exp. (AXP)
Ross Stores (ROST)
Under Armour (UA)