It was a quiet but positive start to the year yesterday. Equities opened sharply higher and spend the rest of the day consolidating the big up gap.
The bigger picture chart of the S&P 500 shows we are still holding well b elow the broken up-trend. We have room higher…into 1360 or so…but above there the air gets very thin. If we manage to push much above there at some point this year we may just be able to call off the armageddon scenarios.
But we shall see…no reason to make huge guesses at this point. We will continue to look for high probability setups in all three timeframes and execute them with great discipline.
The energy sector etf (XLE) above the 72 mark looks good for further ups.
Other than that, let's wait it out a little. We are happy with our portfolio moves we made yesterday.
