June 8, 2012
Mish's Daily
By Mish Schneider
With the end of the week here, a lot of traders do not know which way is up or down. Our trading plan worked beautifully. Long Monday, add Tuesday, take profits Wednesday, more on Thursday, stops on balances-and short a couple of the weaker stocks like BHI and CREE. But, it's like riding a surfboard. Market requires razor-sharp focus, excellent stock picking abilities and most importantly, a solid and repeatable trading plan that works with the phase of the market.
S&P 500 (SPY) 131.00 area next support unless this returns and holds over 132.50 on the open
Russell 2000 (IWM) Stopped at 5/29 high and landed on the 200 DMA. Some midrange consolidation would be healthy.
Dow (DIA) Held up the best which means if 124 holds again, good place to go for more upside.
NASDAQ 100 (QQQ) Reached the 5/29 high and retreated to no particular chart point. Tells me either more downside to the fast moving average 61.85 or a move back above 62.50 and through today's highs
ETFs:
GLD Giving this a chance to find support here around 154.25 before jumping back in
XLF (Financials) Needs a weekly close above 14.30. And, needs to hold 13.80
IBB (Biotechnology) I know this is premature, but looking at the best performing sector for the first ½ of 2012, today's activity suggests it could be forming a top.
SMH (Semiconductors) Had the chance to cross the 200 DMA and could not.
XRT (Retail) Under 57.00 not a great end to the week in the other strong performer of the first ½ of 2012
IYR (Real Estate) 60.00 has to hold
Every day you'll be prepared to trade with:
