The Picture Becomes More Favorable

Not sure how truly favorable it is but “Stock index futures pointed to steep gains on Sunday, looking to extend Wall Street's recent rally after euro zone finance ministers agreed on an aid package to help Spain.”

This at least will remove a little of the dreaded unknowns as the Spanish banks should require less attention…but various  European distractions that our Markets have become so fond of are available to pop-up at any time.

So what did I see in my weekend review?

 The 10-yr Treasury yield is now creeping up from last week, now at 1.6%. I have to tell myself this is a good sign.

IBD (Investor Business Daily) continues to have: Market in Correction, but notes “Another hint of somewhat better action is a higher number of decent stocks breaking out than what was seen in previous weeks.

Copernicus Systems: Is still short in the market, but again not unanimous. Moneys flows are actually up in 2/3 portfolios and 3/3 portfolios are up in price.

IBD 50 Top Five: 

LQDT, GNC, SXCI, ALXN, MLNX

Last Week:

LQDT, SXCI, ALXN, GNC, MLNX 

Copernicus Top Stocks: ARBA, NTES, WMT, EBAY, BMC….note the presence of Wal-Mart

 Currently my "Stocks for a Trade" now consists of:

None at this time

 IBD 50 Basket Holdings Are:

None at this time

 ETF’s for a trade are:

(All gains or losses shown are the total since purchase)

GLD (3) buys for -6.12%

SH -2.42%

SDS -4.38%

What will I do?

It looks like time to close out these shorts…but I may wait a little longer until the trend is clear. Perhaps I will let the rules help me with this one, which does mean dropping SDS soon.

If the market does clearly turn this week some of the top stock listed above will be reviewed for initial positions

I hope you have a great week.