Scalper1 News
Major averages fell on higher volume yesterday, closing under their respective 50dmas. Leading stocks continue to sell off. Markets have been trading sideways since December 2014. If they continue their pattern, the market may have one or two more down days then bounce. Of course, sideways markets are the most difficult to time so a move to cash may come quick. Fortunately, the number of actionable names have proven out provided, as we have been advising for quite some time now, that one takes profits in context with the individual stock and overall market conditions and is quick to cut losses. Futures are currently up slightly at the time of this writing. The number of Americans who applied for unemployment benefits last week sank to a 15-year low which reflects the low level of layoffs occurring in the US economy. Of course, this report sparks fear that the Fed may move a step closer to hiking rates. Leading stocks continue to break down in force with LinkedIn (LNKD) getting smashed after-hours yesterday on poor earnings guidance. While one can hope for a bounce in the indexes, the action of individual stocks, including former leading areas like social-networking, bio-tech, and semiconductors, is severe and likely a clue of further weakness to come. Investors should exercise extreme caution. Scalper1 News
Scalper1 News