Tuesday, January 11, 2011

Uncertainty Ahead

It was another day of gains as the bulls just keep on plodding along. We stumbled a bit in the early afternoon but, of course, the dip-buyers jumped in to prevent the market from staying in negative territory too long. Breadth was positive as oil, steel and commodity plays bounced back with the euro (which was up a little). No major sector was negative, but financials lagged a little.

A number of traders have indicated that they find this action to be rather tedious. It isn't bad, but it is so unvarying from day to day that it is becoming tiresome. Opportunistic traders who are agnostic about market action would like to see a good shake or two and little more variety to create a new supply of opportunities.

Earnings reports will start to roll out on Thursday night when INTC reports, and that should cause a little more volatility. In the interim, however, the action will probably remain very slow.

long INTC

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