‘Whacky’ Market Just Going Sideways
A lot of people have been describing the market action lately as “whacky” or “unpredictable” or, at the least, “volatile.” My take? It’s just one big up/down wave that’s been going nowhere for months!
Now, I don’t know if that’s the new norm – I hope not – but it does play well for traders willing to buy on dips. Of course, the moment I say that, the next dip won’t bounce.
For now, it’s probably better to look at individual stocks rather than rely on the market to send all boats higher.
And looking at individual stocks, one high-flier (you’ll “get it” in a minute) has been Delta Airlines (NYSE:DAL). Nice breakout and while it’s a touch overbought, I think it can move higher.
On the flip side, I noted back in August that gold could go lower. Much lower. It broke down recently, so we’ll see just how far it can go. Others may tread here, but I’m certainly not a buyer.
Okay, that’s a wrap. A few more days until the holidays and then we can do it all over again in 2012!