The market slid by 69 points during the day before gaining half of it at the end of the session closing at 4054, 34 points lower from yesterday's closing. Our foreign friends are net buyers today compared to their miniscule buying yesterday. The market needs to hold at this level to confirm further uptrend in then near term. However, if it does not, expect the market to drop up to 3872.
Today, I sold GMAP with 8% loss as I did not like its behavior today plus the fact that foreign selling was a little bit obvious. Another reason why I sold it was PX gave off a buy signal today from my technical indicator but I didn't get to buy it because of the lack of available funds. The support at the previous gap up at 14.40 held as the price bounced off from that level today.
AT is also about to give a buy signal from my technical indicator tomorrow. However, the triple screening system has already given a buy signal on both issues.
Both issues also NFB today.
I'm hoping to play catch up on these two tomorrow.
MEG has also a net foreign buying today after they sold it down yesterday. I was wrong to assume its behavior last week as bullish divergence. From the looks of it, it is poised to consolidate further or it might correct in the near term. If it makes a correction, I am expecting 2.39 to provide support. If 2.39 breaks, I am expecting it to decline up to 2.28.
8.28% net loss in seven trading days courtesy of GMAP.
1% net paper gain in seven trading days courtesy of MEG.
*It seems like tweezer formation is a reliable support confirmation rather than pointing out peaks. Or they could be possibly more effective in pointing out peaks in trending issues that shows weakness.
**It seems that a correction to the 23.6% retracement level provides support to stocks that are advancing in an accelerated pacing.
