Wednesday, December 29, 2010

Tuesdays Game Plan

Gold was the strongest sector yesterday closing way ahead of any other sector. I will continue to focus on gold stocks today and pay particular attention to the financials sector. The XLF ( financial sector ETF) is at a key resistance level that was tested yesterday without really breaching it and without really closing below it. The SPY's chart is similar to the XLF chart and a breach and hold above the 125.85 level could be very bullish for the market however, if we open higher and come back in then I expect the market to go down.

Longs:

Gold stocks ( ABX, SLW, AU, NEM)
AKS
JPM
STI
COST
DD


Breakouts:

DOW>34.50
Shorts:

EBAY
MCD

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