Tuesday, January 4, 2011

Time to be cautious

It has been a long time since I posted the good and bad analysis. Now I think it is the time again. First, the good part. The market is still in a confirmed uptrend and there are still some stocks breaking out. Now the bad part. The market leaders have stopped leading, namely BIDU, CMG, NFLX, CRM etc. The Chinese speculative small caps are on fire, namely SHZ, CHGS, which usually indicates an end of the move. The bullish sentiment is way too high that usually comes in near a top. In conclusion, the market is due for some sort of pullback and I am cautious near term.

1 comment:

First thing you need to read on my blog said...

Nice Call! I expected the same. I shorted GOLD, naively wish that GLD will down with future market pull back...lol

Your market sentiment is amazing! thanks for sharing your thoughts.