Although last week was an abbreviated trading week, the bulls wasted no time in getting back to work. In the process, they propelled the indexes to new recovery highs, reaching levels not seen since last fall.
Needless to say, that keeps the uptrend very much intact, but it doesn’t mean reckless buying is warranted here. In fact, in the near term the market has become rather extended, and some rest and/or profit taking could easily develop. And actually, that wouldn’t be such a bad thing…new bases could be established after some rest which would offer a new mix of potential plays.
As we head into a brand new week of trading, let’s examine some important levels in the indexes to keep an eye on in the days ahead. That will have the greatest influence on how individual stocks are going to move, so it’s where the trading week begins.
This clip was also posted over on the Trading Videos  site (as always), and perhaps you’ve seen it there – but in case you didn’t, I wanted to put it here on the blog for you.
Let me highly suggest clicking the “HD” on the video player and then going full-screen for best quality.
Thanks for stopping by and I’ll see you here soon with more. Until then…
Trade Like a Bandit!
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