NFTRH; Santa Updated

I am taking my own advice and not getting greedy about Santa.  Profit was taken on MSFT, INTC and AAPL along with a loss on crude oil.

On the smaller stocks, profits both decent and modest were taken on all but NFTRH+ ideas SIMO (which is around break even and on a short leash) and DAKT (as long as its chart looks good and holds to the ‘+’ parameters or hits target) and SGI, which was noted in NFTRH 321 for its chart pattern, that has gone on to improve since then.

Gold stocks have continued with the bearish theme and I continue to have limited patience for them until I get a combination of macro funda and technical indications.  On balance a limited loss was taken on the few items held.

With respect to the broad market, in NFTRH 322 it was noted that a large percentage of the Santa rally may already be in the books and with the Dow and NDX playing catch up, while SPX hangs below the breakout line, I am going mostly sidelines and plan to enjoy the Christmas break that way, with maybe just a few hunches and chart spec’s held/traded along with high cash levels.

If SPX and Dow break to new highs we’ll go with that, but as of now SPX is easing at resistance and Dow is catching up.  It looks like a technical thing.

spx.indu

As for the Russell 2000 and NDX, they too are contained beneath the highs.  The gaps make them look a bit suspect.

rut.ndx

This is no sort of bearish call because we do not have extreme over bullish sentiment along with any real technical indications about a risk of reversal.

What we do have is a low volume holiday week with markets having already gulped up the majority of the expected rally, sitting below potential limitation points and one market participant deciding that is just fine for now.