Editor's Note:

No surprises so far. The market has continued to drift higher just as we expected. Investors are not in a mood to sell before the year ends. Then January will hit and funds will see new inflows to start 2011. The next couple of weeks should have a bullish bias. However, once we move deeper into January I'm expecting some profit taking. The market could see a decent correction (maybe -10%). That's where we will want to consider launching our new long-term bullish positions as we look ahead into 2011 and beyond. Given our expectation for a pull back in mid January we're not adding anything new tonight although I did add three new watch list candidates. Meanwhile USG did jump from our watch list to our play list last week.