Friday, August 14, 2009

Not A Great Day - But Kept The Majority Of Big Gains From Yesterday...

The market pulled back some today; my stuff was down a bit. The great thing about market pullbacks like we had today is that they help to sort out the strong stocks from the pretenders. The best stocks will be quicker to find buying support, and it will be clearer what the real winners are in this market.

When everything is going up at once, it is very difficult to determine which stocks are the momentum plays without any real fundamentals to support them vs. those that have something of substance to back them up. It was an interesting close today; stocks melted up, basically. The dip buyers showed up. Traders are very used to these late-day rallies, so they gave it a go.

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