Editor's Note

The Nasdaq posted a gain for the day, but decliners were 3:2 over advancers. Rarely does any index post a gain for the day when breadth is negative. Today was even worse than that Nasdaq breadth implies. The breadth on the S&P was grater than 2:1 in favor of advancers. The S&P lost 8 points and should have lost more but the big cap Nasdaq stocks were holding up not only the Nasdaq but the S&P as well. Amazon, Google, Netflix, Bookings, Intuitive, Tesla and Facebook were all up strongly. That was the majority of the points on the Nasdaq.

I looked at more than 300 individual charts again today and well over 95% were negative. The rest were neutral. The only charts with positive trends are the big cap tech stocks that are lifting the Nasdaq 100 and they are too expensive and option premiums too high to recommend. I am wary of the market after President Trump's comments on China today and the increasing volatility. I am not making any new recommendations. However, if you must buy something you could look at MNK, JKS, MYL or puts on KR.

Cash is a position when there is no dominant direction.


New positions are only added on Wednesday and Saturday except in special circumstances.


No New Bullish Plays


No New Bearish Plays